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Crypto analyst Ali Martinez has taken to Twitter to share his take on the current situation of the most popular meme crypto, Dogecoin, and to suggest what needs to happen so that it will go higher.
Important demand wall for DOGE
Martinez tweeted that DOGE has now formed an important demand wall at the $0.086 level. Here, more than 89,000 wallets have acquired a total of 14 million Dogecoin. Now, the analyst believes, to make a higher jump from the current level, DOGE needs to get over the resistance it faces at the $0.099 level. At this line, per Martinez, another 21,000 addresses grabbed 8.25 billion Dogecoin.
The analyst referred to the data provided by IntoTheBlock on-chain data aggregator.
#Dogecoin built an important demand wall at $0.086, where over 89,000 addresses bought 14 billion $DOGE.— Ali (@ali_charts) February 1, 2023
To advance further, the #memecoin needs to overcome resistance at $0.099, where over 21,000 addresses purchased 8.25 billion #DOGE. pic.twitter.com/QDaWsdZH40
At the time of this writing, largest meme token DOGE is trading at $0.09218, having shown a significant rise of 10% in the past week. Most of this rise took place just the other day on the news of the chance that Twitter may begin using Dogecoin for internal payments.
The token's market cap is now sitting at $12,225,236,815, per CoinMarketCap.
Earlier this week, a massive DOGE transfer carrying 450 million of meme coins was spotted by @DogeWhaleAlert Twitter account. This massive amount of DOGE was worth 1.01 DOGE, or $0.09, back then.
The transfer was made from a top-20 wallet to an anonymous address, which is assumed to belong to a whale, rather than to a crypto exchange on an OTC desk, according to an earlier U.Today report.
Elon Musk's Twitter seeks regulatory permission for crypto payments
Recently, the Financial Times spread the word about Twitter, under the rule of Elon Musk, seeking regulatory licenses in order to implement crypto payments for its global army of users.
According to the previous tweets of Elon Musk, there are chances that payments could be done in Dogecoin. Therefore, when the news emerged, the price of the original meme token jumped by over 7%, hitting $0.09298.
However, within the hour that followed, the rise Dogecoin lost most of these fast-made gains.
To achieve this goal, Twitter made a registration with the U.S. Treasury as a payment processor and is now seeking to acquire state licenses, which are a must to launch a payment service. All the necessary regulatory checks and procedures are expected to be over within a year.
Still, in November last year, the dog-themed crypto fell sharply once Twitter reportedly rejected plans to launch a new crypto wallet it had been working on.