Dogecoin has shown renewed activity with impressive numbers this week, rising to an intraday high of $0.06525 on Tuesday. This significant rise allowed the cryptocurrency to cross a major resistance level at $0.0640.
Notably, this price breakout represents a momentous achievement for Dogecoin, as it has not reached such heights since August 31. The cryptocurrency’s remarkable recovery from a low of $0.06068 indicates a return of investor interest and enthusiasm, underscoring the dynamic and often unpredictable nature of the currency. Cryptocurrency market.
The event also served as a reminder of Dogecoin’s ability to capture the attention of traders and investors, prompting them to join the fray during this period of heightened market activity.
Dogecoin: The market has shifted towards “greed” territory.
In a recent X post by @DogecoinFear, an interesting insight into Dogecoin Fear and Greed Index It appears, revealing a current score of 71, indicating that the market may be entering the “greed” zone.
The Dogecoin Fear and Greed Index is 71. Greed pic.twitter.com/TEgVW6MunR
– Doge Fear and Greed Index (@DogecoinFear) October 24, 2023
In this context, “greed” refers to the intense desire for profit. A high Dogecoin Fear and Greed Index score, such as the 71 mentioned, reflects a market in which many investors are motivated primarily by the pursuit of large financial gains. These heightened feelings of “greed” can raise concerns about possible overvaluation of the currency or an upcoming market correction.
This impressive metric holds significance for cryptocurrency enthusiasts, as it indicates the possibility of an imminent market correction.
Conversely, when the index falls into the “fear” zone, it may serve as an indicator for investors to consider it as a buying opportunity.
At the time of writing, DOGE was trading at $0.066, down 2.8% over the past 24 hours, but still maintaining a solid 12% rise in the past seven days, data from cryptocurrency market tracker Coingecko shows.
DOGE market cap currently at $9.3 billion. Chart: TradingView.com
A number of cryptocurrency analysts recently said in X Publications that they believe DOGE will eventually reach the lofty $1 target. Dogecoin, according to cryptocurrency analyst Ali Martinez over the weekend, is approaching the peak of a multi-year sliding triangle pattern.
This pattern often acts as a technical indicator indicating a potential bullish breakout. DOGE’s $1 target has been the subject of widespread interest and speculation within the cryptocurrency community, and these thoughts from analysts are fueling the optimism surrounding Dogecoin’s future price path.
Bullish DOGE signal: TD serial indicator in action
Based on Martinez’s analysis, we have seen that the Tom DeMark (TD) Sequential Index has recently shown a bullish signal for DOGE. The TD indicator is used to identify potential trend reversals by tracking a series of price points.
#Dogecoin Looks ready to start a new uptrend!
The TD Sequential indicator has provided a buy signal $dawg Weekly chart. A sustained close above $0.062 could lead to a rise to $0.070. pic.twitter.com/XAGjXHMiOe
– Ali (@ali_charts) October 21, 2023
The analyst said:
“It looks like Dogecoin is ready to start a new uptrend! TD Sequential has provided a buy signal on the DOGE weekly chart.
He added that a sustained close above the key resistance level at $0.062 holds the potential to trigger a significant rise in Dogecoin’s value, which could push it towards the $0.070 mark. This pivotal breakout could signal a shift in market sentiment, attracting more traders and investors who see the potential for further gains.
It is an important technical milestone to monitor, as crossing these resistance levels often indicates renewed interest and buying activity in the cryptocurrency market.
(The content of this website should not be construed as investment advice. Investing involves risk. When you invest, your capital is at risk.)
Featured image from Air Athletics