Dogecoin (DOGE), the largest meme coin by market cap, is showing signs of a significant uptrend as its on-chain metrics indicate bullish momentum. Recent shifts in sentiment across the cryptocurrency market are also contributing to a positive outlook.
DOGE’s Bullish On-chain Metrics
Amidst this market turnaround, DOGE’s on-chain metrics, such as the Long/Short ratio, Future open interest, and OI-weighted funding rates, are pointing towards potential buying opportunities, suggesting a looming uptrend.
According to on-chain analytics platform Coinglass, DOGE’s Long/Short ratio is currently at 1.042, indicating a bullish sentiment among traders. Additionally, its future open interest has seen an 8.9% increase in the last 24 hours and a 4.8% increase in the last four hours. This rise in future open interest suggests a surge in buying activity, with traders potentially accumulating more long positions.
When open interest is on the rise and the long/short ratio is above 1, traders tend to accumulate long positions. Currently, 51.20% of the top DOGE holders have long positions, while 48.80% hold short positions.
Dogecoin Technical Analysis and Upcoming Levels
Technical analysis suggests that DOGE is approaching a key resistance level at $0.112. A breakout above this level, followed by a daily close above $0.113, could lead to a potential 20% surge in the DOGE price, targeting the $0.134 level in the near future.
Currently, DOGE is trading below the 200 Exponential Moving Average (EMA) on the daily timeframe, indicating a downtrend. The 200 EMA is a key technical indicator used by traders to determine the trend direction of an asset.
Current Price Momentum
At the moment, DOGE is priced around $0.109, showing a price increase of over 4.5% in the last 24 hours. However, trading volume has decreased by 25%, signaling reduced trader participation amidst the market shift.
For the bullish scenario to materialize, DOGE must close above the $0.113 level on a daily basis; otherwise, the uptrend may falter.
