Dogecoin Values Skyrocket by 6%; Anticipated Upsurge Continuation - Where Does Dogecoin Head Soon?
In the world of cryptocurrency, Dogecoin (DOGE) is making headlines as it experiences a surge in value and positive technical indicators.
At the time of writing, Dogecoin was trading at around $0.23, marking a 5.77% increase in the last 24 hours. This upward trend is being fueled by a significant event in technical analysis – the 20-period Exponential Moving Average (EMA) has crossed above the 200-period EMA, a phenomenon known as a "golden crossover." Two more EMA crossovers are nearing confirmation, potentially signaling a larger rally for Dogecoin.
The bullish sentiment is further supported by a breakout of an inverse head-and-shoulders pattern on the 4-hour chart, a pattern that often signals the end of a bearish phase.
The potential for institutional demand is also on the rise, with multiple asset managers, including Grayscale, Bitwise, and REX-Osprey, having filed for a spot Dogecoin Exchange-Traded Fund (ETF). If approved, this could drive new institutional investment into Dogecoin. While no specific names or approval expectations for this weekend have been reported, the Securities and Exchange Commission (SEC) recently eased rules for crypto ETFs, accelerating the approval process. Analysts estimate a 90% probability of ETF approval before the end of 2025.
Futures open interest has jumped 16.7% to $3.89 billion, and options open interest has spiked over 300%. This increased interest suggests a heightened anticipation among traders. However, analysts warn that spot inflows must rise to confirm the futures-driven optimism, as heavy leverage could trigger sharp liquidations if the price fails to hold above $0.235.
The long/short ratios on major exchanges remain heavily tilted toward the long side, suggesting confidence in a breakout. Traders should watch spot inflows and key support zones closely as the market approaches a decisive breakout point.
On the support side, $0.209 is a critical level for Dogecoin. A hold at this level could push prices toward $0.225-$0.241. Conversely, a breakdown could risk a drop to $0.200. On the downside, $0.212 is the first key support level. A break below $0.204 could bring Dogecoin price back toward $0.190 or even the $0.150 demand zone.
The immediate resistance for Dogecoin price sits at $0.235. A breakout beyond this level could potentially target the $0.260-$0.280 range. Current Dogecoin price predictions suggest a test of $0.248 is likely if bulls hold above $0.235.
Interestingly, dip buyers have been actively supporting the Dogecoin market, as evidenced by the increase in the 1-2 year holding cohort (21.65% to 23.24%) and the 1-3 month holding group (5.43% to 6.58%).
In the short term, the recent breakout on the 4-hour chart targets a short-term Dogecoin price prediction of $0.37. As always, it's essential for traders to conduct their own research and make informed decisions based on their risk tolerance and investment strategy.
