Dogecoin’s recent trading volume saw an uptick
Dogecoin was introduced in December 2013 by developers Billy Markus and Jackson Palmer, initially as a lighthearted creation based on the Doge meme. The coin gained attention during a time when the broader cryptocurrency space was beginning to take shape, and today, DOGE continues to be used primarily for tipping online creators and in crowdfunding efforts.
Despite its limitations as an investment—due to its infinite supply—Dogecoin remains popular thanks to its enthusiastic community of supporters. Elon Musk has repeatedly expressed his backing for Dogecoin, even claiming that the only hurdle preventing DOGE from becoming “the official currency of the internet” is its concentration in the hands of a few wealthy individuals. Musk also mentioned that DOGE’s transaction capabilities surpass those of Bitcoin and continues to purchase the cryptocurrency despite a lawsuit accusing him of promoting it as part of a Ponzi scheme.
Recently, the BlueBit.io exchange, operating from St. Vincent and the Grenadines and Dubai, announced the listing of Dogecoin, and Santiment, an analytics firm, reported a significant spike in whale activity surrounding DOGE. The firm also highlighted that $100,000+ transactions have become a frequent occurrence on DOGE’s network. Additionally, Bitrue, another analytics company, stated that Dogecoin could reach $0.14 in the upcoming weeks if the price exceeds the $0.09027 resistance.
On a positive note, the U.S. government suggested that inflation may have peaked in July, which boosted investor optimism and signaled the potential start of a bull market. Riskier assets, such as stocks and cryptocurrencies, saw an increase as investors speculated that the Federal Reserve might raise interest rates by 50 basis points rather than 75 basis points in its September meeting.
Technical overview of Dogecoin (DOGE)
Since August, Dogecoin (DOGE) has risen from a low of $0.065 to a high of $0.091. Currently, the price of Dogecoin stands at $0.078. However, should the price fall below the $0.070 level, there is a risk that DOGE could test the $0.060 support level.
The chart below shows the current trendline, and as long as DOGE stays beneath this trendline, the trend cannot be considered reversed, keeping the price in the SELL-ZONE.
Key support & resistance levels for Dogecoin (DOGE)
On this chart (covering the period from December 2021), important support and resistance levels are highlighted to help traders understand potential price movements. Dogecoin (DOGE) is still under pressure from a broader perspective, but if the price manages to break above the $0.10 resistance, the next target could be around $0.12. The key support level stands at $0.060, and if the price falls below this, it would trigger a “SELL” signal, with the next potential target near $0.050. A drop below $0.050, which represents a strong support level, could see the price moving towards $0.040.
Factors supporting an increase in Dogecoin (DOGE) price
Since early August, Dogecoin (DOGE) has surged from $0.065 to a high of $0.091, and the current price of DOGE stands at $0.078. If the price moves above the $0.10 resistance, the next potential target could be $0.12.
According to market intelligence firm Santiment, the frequency of $100,000+ transactions on DOGE’s network has increased, which indicates rising whale activity. Bitrue also suggested that Dogecoin might hit $0.14 in the coming weeks if it surpasses the $0.09027 resistance level.
Indicators pointing to a decline in Dogecoin (DOGE) price
Although Dogecoin recently surpassed the $0.090 level, traders should remain cautious as the price could easily fall back to the levels seen in mid-June. If the price drops below $0.060—an important support level—the next target could be around $0.050 or lower.
Additionally, Dogecoin’s price movements are correlated with Bitcoin’s price. A decline in Bitcoin often negatively affects DOGE’s price performance.
Expert predictions for Dogecoin (DOGE) price
Dogecoin may not be as attractive an investment due to its unlimited supply, but it remains popular for tipping and peer-to-peer transactions on platforms like Reddit. Elon Musk continues to support Dogecoin and believes that its only obstacle to becoming the “official currency of the internet” is the high concentration of coins among a few wealthy individuals. Musk also noted that DOGE’s transaction speed exceeds that of Bitcoin, and despite a lawsuit related to his promotion of the coin, he continues to invest in it.
This week, the exchange BlueBit.io listed Dogecoin, and Santiment reported a surge in whale activity. According to Bitrue, if Dogecoin breaks the $0.090 barrier and sustains that price, traders could anticipate further growth in the coming months.
