As the overall market entered a correction phase following an impressive rally, a whale seized the perfect buying opportunity in Dogecoin (DOGE).
On October 21, 2024, blockchain-based transactions tracker Whale Alert made a post on X (Previously Twitter) that a crypto whale transferred a significant 155.11 million of DOGE tokens worth $21.65 million from the Robinhood cryptocurrency exchange.
The transfer of these significant tokens from the exchange to a wallet gained massive attention from crypto enthusiasts and signaled a potential buying opportunity.
Recently, DOGE has registered a notable gain of over 41% in just a few days, likely due to Elon Musk’s speech at a Pennsylvania town hall, where he discussed how he plans to handle the proposed Department of Government Efficiency (DOGE).
Dogecoin Technical Analysis and Upcoming Levels
According to expert technical analysis, DOGE appears bullish as it recently broke out from a strong resistance level of $0.135. However, it is currently undergoing a price correction, likely due to the recent rally. Based on the recent price action, there is a strong possibility that DOGE could soar by 25% to reach the $0.18 level in the coming days.
Currently, DOGE is trading above the 200 Exponential Moving Average (EMA) on the daily time frame, indicating an uptrend. The 200 EMA is a technical indicator that traders and investors use to determine whether an asset is in an uptrend or downtrend, helping them build positions accordingly.
Bullish On-Chain Metrics
However, on-chain metrics further support this positive outlook. According to the on-chain analytics firm Coinglass, DOGE’s long/short ratio currently stands at 1.07, indicating a strong bullish sentiment among traders. Additionally, its open interest has jumped by 1.9% over the past 24 hours.
This indicates that traders’ interest is growing, and they may be building more positions compared to the previous day.
Combining on-chain metrics with technical analysis, it appears that bulls are currently dominating the asset despite ongoing price correction.
At press time, DOGE is trading near $0.142 and has experienced a modest price surge of over 1% in the past 24 hours. During the same period, its trading volume increased by 45%, indicating heightened participation from traders and investors compared to the previous day.
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