- DOGE’s price has risen more than 15% in the past seven days.
- A few numbers supported the sellers, but market indicators remained bullish.
Dogecoin [DOGE] has seen a promising bullish rally over the past week, with its value rising by double digits. The better news was that the bull rally could gain more momentum in the coming weeks as it neared a crucial resistance level.
Is the memecoin ready for a breakthrough?
CoinMarketCaps facts revealed that DOGE’s price has risen more than 15% in the past seven days. In the last 24 hours alone, the price of the world’s largest memecoin has risen by more than 4%.
At the time of writing, DOGE was trading at $0.1312 with a market cap of over $19 billion.
Thanks to the bullish price action, the coin’s social volume increased, reflecting a rise in popularity. Surprisingly, despite the recent price increase, Dogecoin’s weighted sentiment remained in the negative zone.
This meant that bearish sentiment surrounding the token was dominant in the market.
Source: Santiment
Market sentiment around DOGE can change quickly, as World Of Charts, a popular crypto analyst, recently posted tweet indicates a bullish development.
According to the tweet, a bullish falling wedge pattern appeared on the memecoin’s chart. The pattern emerged in March and since then, DOGE’s price has been consolidating within the pattern.
At the time of writing, DOGE was approaching the resistance of the falling wedge pattern. In the event of a breakout, DOGE could start another bull rally.
To be precise, a breakout could result in a 66% rally in the coming weeks. Therefore, AMBCrypto planned to check DOGE’s statistics to see the odyssey of an outbreak.
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DOGE is likely to remain bullish
AMBCrypto’s analysis of Coinglass data revealed a bearish measure. For example, the memecoin’s long/short ratio recorded a decline.
A decline in the measure means that there are more short positions in the market than long positions, indicating that bearish sentiment was dominant in the market.
Source: Coinglass
The financing rate has also increased sharply. Typically, prices tend to move in the opposite direction to the financing rate. Therefore, there was a chance that DOGE could turn bearish in the coming days, which could limit a break above the falling wedge pattern.
Nevertheless, the MVRV ratio rose last week, which can be considered a bullish signal.
Source: Santiment
We then planned to check the daily chart of Dogecoin to better understand which way the coin is heading.
Read Dogecoins [DOGE] Price prediction 2024-25
Interestingly, the indicators were bullish and suggested a successful break above the pattern.
The MACD showed a bullish edge in the market. Both the Money Flow Index (MFI) and the Chaikin Money Flow (CMF) recorded sharp increases, indicating continued price growth.
Source: TradingView