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Dogecoin (DOGE), the king of meme coins, has recorded a bullish rebound in the last 24 hours. This has pushed the price up, helping it to breach the $0.2 resistance level as investors actively engage the asset in the crypto market.
Dogecoin volume sparks bullish price breakout
According to CoinMarketCap data, within this time frame, traders have transacted over $3.44 billion worth of DOGE. This spike in the volume of Dogecoin changing hands signals the confidence of investors in the meme coin.
The massive activity fueled DOGE’s rise from a low of $0.1973 to hit a peak of $0.2129. As of this writing, Dogecoin was changing hands at $0.2023, which represents a 1.87% increase in the last 24 hours.
The high volume reversal has helped to support the increase in value above the resistance level. There are indications that if it sustains the current momentum, DOGE could experience a breakout ahead. Notably, Dogecoin’s correlation is also supporting the bullish rebound of the meme coin.
However, technical analysis suggests this might be a short-term bullish momentum. The current spike in volume could be as investors position ahead of possible positive news from the Federal Open Market Committee later in July.
Can DOGE rally to $1?
Worth mentioning is that the Dogecoin ecosystem has been building up for this bullish breakout. As reported by U.Today, investors committed 12.3 billion DOGE in open interest about a week ago to the futures market. The move signaled anticipation of a possible price gain, which is beginning to manifest.
Interestingly, the optimism from traders in the space occurred despite DOGE exchanging below $0.17 at the time. However, ecosystem support and the broader impact of Bitcoin’s rally have rubbed off on meme coins.
With Dogecoin up in price and volume, the meme coin appears ready for more upward movement. Its technical patterns, like the multi-year cup-and-handle, coinciding with significant whale accumulation, hint at this possibility.
However, given the volatility of the market, not even its founder, Billy Markus, can predict if DOGE could climb as high as $1.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team