NAIROBI (Coinchapter.com) – As of April 22nd, Dogecoin (DOGE) trades at $0.1609. It boasts a market capitalization of $23.11 billion and a significant 24-hour trading volume of $1.29 billion. Current price movements indicate a bullish trend could be forming; the next level to watch is $0.2864.
Bullish Consolidation in a Rising Wedge
DOGE/USD trades within the confines of a rising wedge pattern, a formation typically indicative of a potential reversal. However, amidst this pattern, a bullish signal emerges as the 50-day moving average (MA) crosses above the 200-day MA. This crossover suggests a shift in momentum favoring the bulls, potentially paving the way for further upside movement.
However, resistance is observed at $0.2864, marking a critical threshold for the cryptocurrency. If Dogecoin’s price ascends to challenge this resistance level, it could answer the question on everyone’s mind – should you buy Dogecoin? On the flip side, definitive support is at $0.1274. A decline below this support could indicate a weakening market and potentially lead to a further price correction toward the $0.0857 mark.
Memecoin Market Overview: Dogecoin Dominance and Volatility
The meme coin sector remains a magnet for investor attention, boasting a combined market capitalization of $56.6 billion. This figure has edged upward by 1.2% in the past day alone. At the forefront, Dogecoin maintains market dominance with a $23.13 billion cap and records a $1.41 billion 24-hour trading volume.
Shiba Inu (SHIB) closely tails Dogecoin, ranked 12th with a market capitalization of $15.94 billion. In contrast to DOGE’s steadiness, SHIB boasts a significant 17.3% price surge in the last week, trading at $0.00002706. The coin has registered a 24-hour trading volume of $804.7 million, reflecting active market participation.
Ranking 43rd, Dogwifhat (WIF) may not match the market cap of its more prominent peers, yet it holds a considerable $2.92 billion valuation. WIF’s price point at $2.92 is indicative of a 0.9% increase over the past week. Its trading volume for the past 24 hours is reported at $468 million, denoting a healthy trade flow.
Should You Buy Dogecoin – Bullish Analyst Projections
Dogecoin’s technical indicators offer mixed signals, but analysts and influencers are expressing optimistic outlooks for the memecoin’s future. Trader Tardigrade, a crypto analyst, believes in the “7-year cycle theory” for Dogecoin. Based on previous price patterns, this suggests Dogecoin could reach heights of $2, $9, or even $40 in this market cycle.
Similarly, the crypto enthusiast Mayne, boasting a sizable following of half a million, has outlined two potential scenarios for Dogecoin’s near-term market performance. According to Mayne’s analysis, Dogecoin could either lose support around the $0.18 level, potentially triggering a larger correction, or the bulls could reassert control, allowing the current rally to continue unabated.
