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Is Dogecoin Poised for Another 50% Surge? (Analyst)

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  • The OG meme coin has recovered yesterday’s losses and is back above $0.24, with a popular analyst pointing out that the next major resistance is 50% higher than its current levels.
  • At the same time, on-chain data reveals that leveraged traders continue to build big DOGE positions.

In order to reach the first major resistance outlined by Martinez, DOGE would have to outperform its weekly price surge, which saw it gain 40%. Recall that the oldest meme coin struggled at around $0.165 until this time last week, when the overall market turned bullish and DOGE rode the wave in an impressive manner, surging to a multi-month peak of $0.26.

Yesterday’s correction, which pushed it south to Martinez’s key support zone of under $0.22, has been erased to a large extent, and DOGE now sits at $0.245.

Meanwhile, Glassnode said yesterday that the DOGE Futures Open Interest surged by almost 64% in the past week, going well above $1.6 billion. This means that the amount of open short and long leveraged positions has skyrocketed, which comes at an intriguing time when DOGE’s rally cooled off.

According to the analytics company, such a rapid increase in the Open Interest during price pullbacks means that traders continue to build speculative positions, which could result in enhanced volatility once the market heads decisively in either direction.

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