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Dogecoin price action since the beginning of the week has not been impressive. It is worth noting that the price of Dogecoin has doubled over the past 30 days, with price data indicating a 115% increase during this time frame.
This is impressive Dogecoin price The rally saw the meme coin break above $0.22 for the first time since April 1, more than seven months ago. Interestingly, this breakout means that the memecoin price is now trading at its highest point so far in 2024. Furthermore, the rise in Dogecoin price has seen many coin holders crossing over into profitability.
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Dogecoin’s rise in 7 months pushes the majority towards profitability
Data from IntoTheBlock indicates that the vast majority of DOGE holders are currently profitable thanks to the recent price rise. In particular, IntoTheBlock’s profitability metric shows that 5.82 million addresses, representing 91.17% of all addresses, are currently profitable.
Regarding a specific buy zone close to the current price, IntoTheBlock’s profitability metric also shows that the majority (62.35%) of addresses that bought between $0.178537 and $0.242947 are making money at the current price.
As we enter a new week, Dogecoin price faces two paths based on current market dynamics and holder profitability. One scenario is a significant cooling off in Dogecoin price increases. Although the price is on a rising streak, the recent reach of a new 2024 high may face challenges in clearing key resistance levels.
With a large number of stockholders now making profits, some may be tempted to sell and lock in their gains, which could put downward pressure on the price. If this wave of profit taking outweighs buying interest, DOGE could see a significant price pullback.
On the other hand, Dogecoin may continue its rally, which will pave the way for further gains in the coming week. If the buying momentum continues at this pace, Dogecoin could easily approach its all-time high of $0.7316 before the end of the year. At the time of writing, DOGE is trading at $0.2352 and is up 11.5% in the past 24 hours.
The analyst says Dogecoin will reach $1.17 soon
Only time will tell whether Dogecoin price will maintain its upward momentum or enter a consolidation phase. Still in favor of bullish momentum, a cryptocurrency analyst known as Mags (@thescalpingpro) on social media platform
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According to Mags, we are currently in a coin super cycle. Furthermore, a Dogecoin price chart shared by the analyst highlighted an upcoming parabolic rally for Dogecoin, as it appears to be breaking above a testing pump earlier in the year. As such, Mags forecasts a rise in the price of Dogecoin with a target of $1.17, which represents a 400% increase from the current price.
Image from X: @thescalpingpro
“The $DOGE pump will melt faces,” the analyst said.
Featured image from Marly & Dan, chart from TradingView