Dogecoin (DOGE) price rallied above 20 cents for the first time in more than two years, thus indicating strong conviction from investors on dog-themed meme coins.
Elon Musk-backed meme coin, Dogecoin (DOGE), has recorded increased on-chain and development activities in the recent past. The large-cap meme coin, with a fully diluted valuation (FDV) of about $28.8 billion, has significantly benefited from tangible support from crypto whale investors. Furthermore, Dogecoin price has rallied more than 118% in the past four weeks to trade around 20 cents on Thursday, during the early London session.
Top Reasons Dogecoin Price Is Rising
Dogecoin, the second largest digital asset that is secured through the legendary proof-of-work (PoW) consensus mechanism, has significantly benefited from the unwavering support from tech billionaire Elon Musk. Earlier this month while in Germany at the Gigafactory for Tesla Inc (NASDAQ: TSLA), Musk highlighted that Dogecoin will soon be enabled for car purchases.
As Coinspeaker mentioned this week, the Dogecoin Foundation successfully rolled out the GigaWallet v1.0 software to enable seamless integration between the Dogecoin network and online shops for streamlined payment services. Consequently, Dogecoin can be used for mass payments, especially on the unicorn companies backed by Musk.
Moreover, the X platform (formerly Twitter) has obtained more than 20 money transmitter licenses in different states around the United States.
Meanwhile, it is worth noting that Dogecoin has more than 7.2 million non-zero addresses that have transacted over 313 million transactions since its inception. According to on-chain data analysis, Dogecoin whales have increased general activity, thus sparking bullish sentiments.
🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 1,000,005,008 #DOGE (178,185,804 USD) transferred from unknown wallet to unknown wallethttps://t.co/GGgqlLP7T6
— Whale Alert (@whale_alert) March 26, 2024
Midterm Targets for DOGE
Dogecoin has seen its daily average trading volume spike by 51 percent in the past 24 hours to about $5 billion at the time of this writing. The heightened trading volume for the top meme coin has increased the chances of further upsurge in the coming weeks. Furthermore, crypto cash rotation is expected to be heightened in the coming weeks as Bitcoin dominance signals an inevitable reversal in the near term.
Dogecoin successfully retested the Macro Downtrend and rallied +55% to the upside since
More recently, #DOGE broke out from its Bull Flag (orange) and now trying to retest the Bull Flag Top as new support as well
So far, so good#Crypto #Dogecoin https://t.co/42GAr8HP0W pic.twitter.com/aze1mBpUNr
— Rekt Capital (@rektcapital) March 27, 2024
According to a popular crypto analyst alias Rekt Capital, the Dogecoin price is aiming to reach 27 cents after converting the current resistance level of around 20 cents to a support level. Meanwhile, Dogecoin price should experience short-term resistance around 23 cents, which coincides with the 1.618 auto Fibonacci Extension.
Market Check
The rise of Dogecoin is expected to trigger a fresh bull run for the entire meme coins as more investors proliferate. Ordinary, dog-themed meme coins led by Shiba Inu (SHIB), Floki (FLOKI), and Baby Doge Coin (BABYDOGE) among others have followed the footsteps of Dogecoin. According to the latest update, dog-themed meme coins have a market cap of about $57 billion and a daily trading volume of around $8 billion.
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