Dogecoin Open Interest Spikes To $5 Billion
Analysts are betting big on price rise for cryptocurrency’s biggest meme token as market observers believe Dogecoin Momentum is building and the time may be ripe for a price explosion.
Data shows that optimism for the coin has grown as the coin’s open interest increased and a sustained price recovery led to the coin breaking through its resistance levels.
Related reading
Dogecoin open interest reaches $4.7 billion
Analysts believe that Dogecoin may stage a rebound that could see the meme coin hit $0.39 levels, stating that the coin is currently in recovery mode and gaining momentum.
One of the positive indicators that DOGE may be trending upward is open interest. Data shows that the coin’s open interest has grown.
Dogecoin’s open interest surged nearly 10% in the past 24 hours, sending the meme coin’s price soaring, according to CoinGlass data $4.74 billion.
Meanwhile, one cryptocurrency analyst noted that the long-short ratio of 0.9964 may indicate a slightly higher number of bearish positions. Nonetheless, the coin’s volume-weighted funding rate remains on the positive side with an increase of 0.0098%, indicating that investors are willing to pay a premium to maintain a bullish position.
Overall, analysts believe derivatives data points indicate that the upward trend of the largest meme tokens will continue.
Stay above Fibonacci support levels
Cryptocurrency analysts noted that the price of DOGE reached $0.31385, which is still above the 23.62% Fibonacci support level. They highlighted that while DOGE initially faced strong bearish pressure, the coin managed to recover and gain bullish momentum.
Market watchers said data showed DOGE price surging near the 50% Fibonacci level, trading at $0.3675, with a series of consecutive bullish candles.
Dogecoin climbed above the 200 EMA line and reached the 38% Fibonacci level, pushing the possibility of a positive crossover higher for the coin.
Additionally, indicators highlight that DOGE’s 4-hour RSI has reached overbought territory, supporting the possibility of the coin continuing to surge higher.
As of press time, Dogecoin is Trading at $0.3776 The total market value reaches US$55 billion. Data from Coingecko showed that DOGE rose 3.1% on the daily and 15.8% on the week.
Related reading
Is $0.39 in range?
Analysts say many indicators suggest Dogecoin is strengthening, which could push it to $0.39 per coin.
DOGE continues to dominate the crypto space with ~50% gains, surpassing psychological resistance at $0.35.
Cryptocurrency observers pointed to a 5% increase in the altcoin market as another indicator aiding Dogecoin’s rise.
Featured image from Cybernews, chart from TradingView
