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Dogecoin Might Rise Another 14% If This Support Holds

Fri, 07/29/2022 - 13:23
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Tomiwabold Olajide
Dogecoin has built important support at $0.068
Dogecoin Might Rise Another 14% If This Support Holds
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According to IntoTheBlock data shared by cryptoanalyst Ali Martinez, Dogecoin sits on formidable support at $0.068, where 78,250 addresses purchased nearly 44 billion DOGE. If this support holds, according to the analysis, Dogecoin might rally to $0.08, which marks nearly a 14% increase from current prices.

At the time of publication, Dogecoin was dabbling in support at the $0.068 level where it presently trades. Following a rebound from lows of $0.060 on July 26, Dogecoin posted three consecutive days of gains to reach intraday highs of $0.072 on July 29. Despite trimming some gains, Dogecoin is up nearly 3% in the past 24 hours.

However, the trend remains one of consolidation as the daily RSI is still hovering around the neutral 50-point level. To resuscitate it for an uptrend, buyers might have to push the price above the barrier at $0.073 and then $0.076. However, bulls must hold the $0.06 level as support to prevent a fall toward $0.057 and $0.05.

The crypto analyst also reported that the new Dogecoin addresses created daily have surged by 265%, increasing from 14,470 to 38,430 new addresses per day. "The increasing network growth is a positive sign, which could soon be reflected in DOGE price," the analyst wrote.

Although an increase in holders may not have an immediate impact on the price, it may signify interest in an asset over time and, therefore, remains a positive sign.

Dogecoin community issues alert

The Dogecoin community has issued an alert on scammy knockoffs, claiming to be associated with Dogecoin and its Dogechain.info explorer.

Popular Dogecoin-focused Twitter account Mishaboar sounded this awareness while warning Dogecoin users to stay alert.

On its official Twitter handle, Dogecoin states: "There have been many tokens over the past nine years that have quickly come and gone. 1 Dogecoin = 1 Dogecoin, and there is only one Dogecoin, which is its own blockchain, and not directly associated with any tokens. Beware of imposters."

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About the author

Tomiwabold is a cryptocurrency analyst and an experienced technical analyst. He pays close attention to cryptocurrency research, conducting comprehensive price analysis and exchanging predictions of estimated market trends. Tomiwabold earned his degree at the University of Lagos.