Dogecoin, affectionately referred to as the ‘meme coin’, has experienced a rather significant gain last week. In the time frame of seven days, the digital coin’s value saw an excess of 10% growth. As of the date Friday, July 18, the price at which the meme coin was trading was approximately $0.234. This rate, despite the notable gain, was still hovering around 70% below its record high of $0.7376, established in May 2021.
The upliftment in Dogecoin’s value comes in the wake of Bitcoin carving out a fresh peak for itself, a historic record set at an astonishing $123,091.61 within the same week. The significant leap of Bitcoin’s value had a ripple effect on the sentiment across a wide array of cryptocurrencies, the meme coin, Dogecoin, included in this upward wave.
A certain crypto analyst, deep into studying the trend lines of Dogecoin, has recently observed an intriguing development. According to the analyst’s well-reasoned estimates, Dogecoin appears to be steadily moving towards forming what is commonly referred to as a ‘double bottom’ pattern in due course.
In case you’re unfamiliar with the terminology, ‘double bottom’ is a frequently occurring pattern in asset trading. It takes place when an asset price hits a low point twice consecutively with a minor rally occurring in between the two low points. This pattern plays a crucial role in predicating the future trajectory of asset prices.
If this ‘double bottom’ pattern successfully manifests itself, the price of Dogecoin could potentially see itself growing at a substantial rate, an estimation has placed a possibility of the value reaching as high as $0.42 by the month of September.
On more of a technical front, if the price of an asset successfully surpasses the intermediary high point, a point referred to as ‘the neckline’, the common interpretation is often seen as the beginning of a positive, upward trend. Given the factors, the crypto analyst has predicted a similar trajectory for the meme coin.
Adding to the current optimistic outlook, there has been the highlighting of large-scale transactions involving Dogecoin. The analyst’s report notes an impressive accumulation of over 1 billion Dogecoin tokens being purchased within a span of a mere 48 hours.
It’s worth bearing in mind that in the crypto market universe, a surge in active trading is often observed as a precursor to major price shifts. It’s a predictable pattern that when trading activity increases, a significant price movement is most likely around the corner.
In the context of Dogecoin, its remarkable uptick in trading volume has captivated the interest of several trading enthusiasts and market analysts. The coin, led by its clout, signifies a potentially impactful trend in the near future.
If you’re considering the possibility of Dogecoin reaching the ambitious target of $0.42 by September, it’s important to recognize the journey it would need to undertake. From its present trading price of $0.234, Dogecoin would need to attain an approximate hike of 80% to hit the target value.
While the thought of such an elevated increase may seem somewhat ambitious sounding to some, it’s crucial to remember the inherent nature of the crypto market. The sphere is renowned for its highly volatile swings that are influenced by various factors such as technical signals, the pace of active trading, and the resonating buzz in the online sphere.
The fluctuating free-market alumni, too, create a fertile ground for unanticipated movements. One cannot overlook the possibility, however remote, that Dogecoin may become a part of this unpredictable dynamic, thereby fulfilling the speculated target.
Market analysts concerns’ with the progress and potential of Dogecoin highlight the perceived influence and universality this digital token represents. Investors and traders interest displays the promising potential of Dogecoin, and its emergence as a formidable player in the digital market space.
Regardless, like in any financial market situation, adhering to notions of good investing practices is fundamental. Making informed decisions, factoring-in the past and current performance, and keeping in mind the volatility, all contribute towards smarter investing in cryptocurrency.
As a final thought, while the crypto market can often seem like tricky waters to navigate, carefully analyzing patterns and calculated speculations, such as the proposed ‘double bottom’ footing for Dogecoin, can potentially steer investors in a more informed direction.
The post Dogecoin Experiences 10% Surge, Analyst Predict Future Growth appeared first on Real News Now.
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