Dogecoin price action over the past 24 hours has been cIt is characterized by uniformity About $0.33. Notably, this roam around the $0.33 mark has seen Dogecoin consolidate above an important trend line that could… Make or break its course From here.
Interestingly, Dogecoin is also displaying what looks like a peak-bottom formation, according to a recent technical analysis of the price action. This observation comes from cryptocurrency analyst Trader Tardigrade, who shared insights into Dogecoin’s price structure and positive outlook for the meme king.
Dogecoin maintains strength above the support trend line
In a Final analysis On social media platform X, Trader Tardigrade noted that Dogecoin maintained its position above the vital support trend line. This support trend line, as shown in the price chart below, is located around $0.315, and it has been Dogecoin related area Since mid-December 2024. This support level arose after Dogecoin briefly broke below the $0.27 mark on December 20 before rebounding upwards. As trader Tardigade pointed out, the structure resulting from this breakout formed what amounted to a sell-off.
However, the oversold may not actually be the end of the correction. Alternatively, Dogecoin may still be in the process of completing an “oversold bottom,” a more extended formation that paves the way for a price correction bottom. Currently, Dogecoin is retesting the support trend line at $0.315 after the recent surge to $0.39.
This retest is seen as a crucial step in the broader price structure. According to Trader Tardigrade, the price action represents a “secondary test” (ST), a technical move that serves to confirm the validity of the oversold bottom. By holding above this level, Dogecoin enhances its chances of moving from a correction to an extended upward recovery.
DOGE to show signs of strength
Investors are closely watching signs of strength in Dogecoin, and on-chain data suggests there are some investors They may already be in a situation themselves The final boss moves up. Trader Tardigrade echoes this sentiment, noting that Dogecoin will eventually show a sign of strength on the rise.
This mutation is based on Expect a strong bounce From the bottom of the oversold. In terms of a Price targetTrader Tardigrade predicted that the next step for Dogecoin is to push towards $0.66 in the next few weeks.
Speaking of investors gearing up for Dogecoin’s bullish move, on-chain data is from Santiment It appears that the Dogecoin whale is processing They have purchased over 470 million DOGE tokens in the past 48 hours. As such, the total holdings of these whale addresses containing between 10 million and 100 million DOGE tokens now stands at 22.56 billion tokens, the highest in over 30 days.
At the time of writing, Dogecoin is trading at $0.332 and has risen by 0.5% in the past 24 hours.
Featured image from Wall Street Journal, chart from TradingView
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