Dogecoin (DOGE), the largest meme coin in the world, has significantly increased by over 70% in October 2024 and has now reached an important resistance level. This significant price increase in such a short time raises concerns about a price correction or consolidation, which could temporarily halt DOGE's upward momentum in the coming days.
Technical analysis of Dogecoin (DOGE) and upcoming levels
According to technical analysis by experts, DOGE appears bullish but is currently at a strong resistance level of $0.18. Since March 2024, the meme coin has reached this resistance level multiple times but has faced selling pressure and price reversals.
This time, sentiment has shifted, and prices are likely to rise even further. However, this can only happen if DOGE breaks this resistance level and closes the daily candle above $0.18.
Based on price action, if this occurs, there is a strong likelihood that the meme coin could surge 25% to reach $0.22 in the coming days. On the other hand, there is also a possibility of price correction, as DOGE has experienced a significant price increase without any pauses that we may face in the coming days.
On-Chain bullish index of DOGE
The bullish outlook for DOGE is further supported by on-chain metrics. According to on-chain analytics firm Coinglass, the Long/Short ratio of DOGE is currently 1.09, indicating strong bullish sentiment across the market.
Additionally, open interest has increased by 14.1%, indicating growing participation from traders and investors amid optimistic sentiment.
The combination of bullish on-chain metrics with technical analysis indicates that buyers currently dominate this asset and may support DOGE in the price increase.
As of now, DOGE is trading near $0.174 and has increased by over 10% in the past 24 hours. During the same period, its trading volume increased by 29%, indicating growing attention from investors and traders.
