- Whale activity of $36M suggests potential for price movement and increased market attention.
- DOGE’s key resistance at $0.415 could trigger a bullish rally towards $0.50.
- Rising active addresses and MVRV ratio show growing market interest and cautious optimism.
DOGE recently experienced a rise in whale activity, with 90 million DOGE, valued at $36 million, transferred to Binance. This massive transaction has sparked interest and speculation among traders about what’s next for DOGE. As of now, Dogecoin is trading at $0.3957, reflecting a 1.17% decline in the last 24 hours. With all the activity surrounding Dogecoin, traders are closely watching whether DOGE can break through its current resistance and initiate a new bullish trend.
Can DOGE Break Through the Key Resistance?
Dogecoin’s daily chart is showing a bullish cup-and-handle pattern, which suggests a potential rally. The key resistance level stands at $0.415, a price point that DOGE has struggled to break above before. If DOGE successfully surpasses this resistance, a rise toward the next major target of $0.50 might be triggered. However, if the resistance remains intact, a pullback to the support level at $0.3095 may occur, potentially signaling a short-term downturn.
Positive Indicators Suggest Potential Upside
The MVRV Z-score for DOGE is currently at 3.47, which indicates that most holders remain moderately profitable. This suggests that the market isn’t overly optimistic or pessimistic, and investors aren’t rushing to sell. Additionally, Dogecoin has seen a surge in active addresses, with over 114,000 wallets transacting recently.
This increase in network activity reflects growing interest in the coin and could indicate rising demand. Although the long/short ratio slightly favors shorts at 51.35%, this small margin means the market remains undecided. If this ratio shifts toward more long positions, it could trigger a short squeeze, pushing DOGE higher.
With increased whale activity, growing network participation, and a bullish chart pattern, Dogecoin could be on the verge of a breakout. However, for a sustained upward trend, the resistance at $0.415 must be breached. If DOGE clears this critical level, a move toward $0.50 could become a reality.
