- DOGE’s price dropped by more than 1% in the last 24 hours.
- Most metrics and indicators looked bullish on DOGE.
Memecoins began their bull rallies days after the Bitcoin [BTC] halving, allowing them to register double-digit gains. However, Dogecoin [DOGE], the world’s largest memecoin, didn’t showcase such a performance as it remained relatively dormant.
Dogecoin remains less volatile
According to CoinMarketCap, Dogecoin’s price only moved marginally in the past seven days. In fact, in the last 24 hours, its value actually dropped by more than 1%.
At the time of writing, DOGE was trading at $0.1609 with a market capitalization of over $23 billion. Because of the dormant price action, Dogecoin’s fear and greed index also turned neutral, as at press time it had a value of 54%.
Source: CFGI
However, investors must not lose hope as the memecoin’s price was moving inside a bull pattern. World of Charts, a popular crypto analyst, posted a tweet highlighting how DOGE’s daily chart displayed a bullish pennant pattern.
As per the tweet, DOGE’s price was consolidating inside the pattern, which was the primary reason behind the memecoin’s less volatile price action. If the coin manages to successfully break above the pattern, investors might witness a massive price rise.
The uptrend might as well allow DOGE to touch $0.3 in the coming month.
What metrics suggest
To see whether it’s likely for DOGE to successfully break above the bull pattern, AMBCrypto analyzed Santiment’s data. We found that the memecoin’s MVRV ratio improved considerably last week.
This meant that more investors were in profit. Its velocity also shot up on the 21st of April, meaning that DOGE was used more often in transactions within a set timeframe.
On top of that, Dogecoin’s funding rate remained low. As prices tend to move in the opposite direction of the funding rate, it suggests that investors might soon witness DOGE’s price to pump.
Source: Santiment
We then took a look at DOGE’s daily chart to better understand which way it is headed in the short term. We found that Dogecoin’s MACD displayed the possibility of a bullish crossover.
Additionally, the meme coin’s Relative Strength Index (RSI) also registered an uptick and was headed above the neutral mark of 50. This indicated that the chances of a price uptick in the coming days are high.
Realistic or not, here’s DOGE’s market cap in BTC terms
A price uptick might allow DOGE to break above its bull pattern soon, which might result in the meme coin’s price touching $0.3. Nonetheless, the Money Flow Index (MFI) told a different story.
The technical indicator went southward, indicating that the declining price trend might last longer.
Source: TradingView
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