DOGE price has risen 5% today, with several technical and on-chain indicators suggesting that Dogecoin may soon set a new all-time high in the coming weeks.
Dogecoin (DOGE) price has increased by over 5% in the past 24 hours to $0.3918, outperforming the cryptocurrency market, which rose about 0.9% during the same period to $3.09 trillion.
Data from Cointelegraph Markets Pro and TradingView shows that DOGE has been on an upward trend for the past two weeks, rising 209% from a low of $0.1420 on November 3 to a three-year high of $0.4329 on November 12.
Although DOGE's current trading price is 11% lower than this peak, several factors support the world's largest meme coin having greater upside potential.
Elon Musk and D.O.G.E.
The bullish argument for Dogecoin stems from increased investor interest following the victory of Donald Trump as the elected president of the United States, Elon Musk, and the proposed Department of Government Efficiency (D.O.G.E.). Social media has also played a crucial role in amplifying this interest, as mentions of Dogecoin surged on the platform.
Investor and Dogecoin community interest intensified when Trump chose Elon Musk to lead the proposed government department alongside Vivek Ramaswamy.
Musk is often referred to as the 'father of Dogecoin' because of his influential role in promoting Dogecoin; whenever he posts about the meme coin on his X platform, its price often reacts positively.
According to Google Trends data, interest in Dogecoin has seemingly weakened in the past few days with the pullback in DOGE prices, but investor interest in Dogecoin has not yet peaked. The chart below shows the variation in social media interest in Dogecoin over time.
Despite the recent rebound leading to the highest interest since 2021, it has not matched the interest from May 2021 when DOGE's price reached an all-time high of $0.7376.
The data highlights that there is greater upside potential for Dogecoin prices as most retail traders remain on the sidelines.
DOGE whales accumulating
In response to the slight market adjustments over the past few days, Dogecoin whales took the opportunity to buy at $0.35. Data shows a sharp increase in whale addresses holding between 10 million to 100 million DOGE from November 4 to November 18.
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These large investors accumulated approximately 140 million DOGE, worth about $56 million, during the period from November 17 to November 18.
This purchase may help Dogecoin return to the range of $0.38, as the largest holders of Dogecoin seem to be preparing for higher prices in the future.
DOGE's bull flag points to a new all-time high
From a technical perspective, the price action of DOGE depicts a bull flag pattern on the daily chart, as shown in the chart below.
A bull flag is a bullish continuation setup that forms after a significant price rebound, where prices consolidate within a downward-sloping range.
The pattern will settle after the price breaks the flag's upper trendline at $0.40 and rise as much as the height of the previous upward trend. This sets a target price for DOGE at $0.87, marking a new all-time high for the meme coin.
The daily relative strength index for DOGE remains in the overbought zone at 77, indicating a relatively high likelihood of a significant pullback.
Therefore, a pullback from $0.38 may retest the lower trendline of the flag around $0.355. Below this level, DOGE/USD may move towards the psychological level of $0.30.