Dogecoin ($DOGE) is currently trading at a pivotal price point of $0.1711, up nearly 5% in the last 24 hours. However, it faces significant resistance at $0.18 and $0.21, which, if surpassed, could trigger the next substantial bullish phase.
These critical points are at $0.18 and $0.21 in relation to Dogecoin’s recent price movement. According to UTXO Realized Price Distribution (URPD), more than 11.8 billion DOGE are concentrated at $0.177, which constitutes almost 8% of the distribution. Likewise, a significant volume of more than 10.4 billion DOGE is placed at $0.21, so these price levels may be considered difficult to overcome.
According to Ali Martinez, a crypto analyst, a breakout above these levels signifies a bullish trend and reduces selling pressure. He noted that breaking these resistances may set the stage for DOGE to reach even more significant price levels.
Market Indicators Suggest Growing Optimism
Currently, Dogecoin has a market capitalization of $25.44 billion, indicating its popularity among investors. The trading volume increased by nearly 10% to hit $1.21 billion, which shows a high market demand.
The derivatives data provide additional insights. Open interest has increased to almost $1.65 billion, about 4.76%, meaning that new participants may be entering the market. On the same note, the long-to-short ratio is still bullish on other platforms, such as Binance and OKX, at 3.25 and 3.88, respectively. Such ratios show that traders are expecting a higher price surge in the future.
However, caution remains warranted. Looking at derivatives liquidation data over the last few days, one can see high volatility. In the last 24 hours, short positions reached a significant value of $4.42 million, while long positions were equal to $2.16 million. Such figures speak volumes about the current fluctuating prices of DOGE.
Exchange Activity Hints at Increased Stability
Similar trends are observed in the flow and outflow positions of some of the spot market activities in the current period. Overall, Netflows have stabilized, which is better than the sell-offs seen in previous months.
This stability and increased institutional attention and long position taking in derivatives provide an optimistic short-term trend forecast for Dogecoin.
Therefore, for a prolonged bullish trend to occur, higher levels need to be breached in order to be utilized for support. This would add to the current market bullishness and uplift DOGE towards larger-level gains.
This stability and increased institutional attention and long position taking in derivatives provide an optimistic short-term trend forecast for Dogecoin.
Therefore, for a prolonged bullish trend to occur, higher levels need to be breached in order to be utilized for support. This would add to the current market bullishness and uplift DOGE towards larger-level gains.
