Journalist
- CVD indicated that DOGE might not reach $0.20 anytime soon, despite bullish signals.
- The traders are confident that this coin is profitable over the long-term.
Dogecoin’s [DOGE] Price rose by 6.21% over the past 24 hours, after a decline of $0.14. Analyst Ali Martinez stated that it could be just the beginning of a trend that lasts four days.
Martinez said that the Tom DeMark Sequential (TD) on the daily chart gave a signal to buy. The TD Sequential, a technical indicator used for trend exhaustion or potential reversals.
According to the graph the analyst provided, the sellers were exhausted once DOGE reached $0.14. A rise in price was expected to follow.
Source: X
DOGE Day brought good news
AMBCrypto identifies “DOGE Day”, which is on April 20th, as another factor that caused the price to spike.
We have already discussed this. reported How Dogecoin’s price could increase before the big day.
It was interesting to note that it appeared that the event that project community planned to celebrate turned out to be “buy the rumor”.
Will there be a “sell-the-news” effect? Data from Coinalyze shows that the Cumulative volume delta (CVD), was in negative territory.
The trend indicated that buyers were more likely to pay current market prices for coins and meet bids. This trend could lead to DOGE not being able to continue. Beyond $0.20 In the short-term
Coinalyze
If the CVD increases, the buyers may trade the coin while the sellers are left out. The value of the coin could continue to increase for the remainder of the week.
AMBCrypto also considered that the price prediction From an on-chain perspective. We started by looking at the volume.
Prices may be slowing down
Dogecoin has increased in value slightly over the past few months. It seemed, however, that the increasing volume may not have been enough to support a breakout.
DOGE may stall before the end of this week. In a situation where trading volume increases significantly along with the price, a bullish hypothesis might apply. Validated.
Dogecoin’s total Funding grew to 0.01%. Positive funding is when long-positioned traders pay short-positioned traders a fee in order to maintain their open positions.
Santiment
It is a sign of a positive sentiment. The Funding Rate can give a good indication of the sentiment. You can also read more about it here. Price movements can be predicted.
The high funding positive for DOGE with the increase in price suggests aggressive perp-longs.
Is your portfolio green? Check your portfolio DOGE Profit Calculator
It is interesting to note that these traders have been rewarded for taking this position. This is good news for DOGE in the short-term. If funding falls, this bullish outlook could be nullified.
DOGE is currently poised to go higher than $0.16.