Crypto analyst Lumen has revealed a big accumulation pattern amongst Dogecoin whales, which gives a bullish outlook for the DOGE value. The analyst additionally talked about what may drive the meme coin’s value to $0.5, marking a bullish reversal for Dogecoin.
Dogecoin Whales Accumulate As Price Eyes Rally To $0.5
In an X post, Lumen revealed that Dogecoin whales amassed 1.7 billion DOGE ($298 million) in 72 hours, which he famous indicators bullish sentiment forward of a possible Dogecoin ETF approval. These whales’ accumulation has come amid an enormous value crash for Dogecoin, which has dropped 20% in every week, falling from round $0.22 to as little as $0.16.
Lumen then went on to present a value projection for the foremost meme coin. He acknowledged that if DOGE reclaims $0.2 earlier than the ETFs approval, there’s a chance that Dogecoin may rally to $0.5 due to the liquidity of ETFs. He added that the world’s richest man, Elon Musk, may additionally resume bull posting about DOGE as he had carried out earlier than.
It is price mentioning that the US Securities and Exchange Commission (SEC) not too long ago postponed the approval course of for Grayscale’s Dogecoin ETF, suggesting that the pending DOGE ETF purposes are unlikely to be authorized anytime quickly. However, regardless of this improvement, crypto analyst Ali Martinez has predicted that DOGE may quickly rebound.
The analyst acknowledged that investor sentiment round Dogecoin is at its most detrimental in over a yr. Martinez added that traditionally, excessive worry has set the stage for main reversals. In line with this, he remarked that this might be a major alternative to be a contrarian.
Current State For DOGE
Crypto analyst Kevin Capital offered insights into Dogecoin’s present value motion. He acknowledged that DOGE has had a again take a look at of the macro 0.5 Fibonacci degree. It has additionally back-tested macro pattern strains, together with the 200-week Simple Moving Average (SMA) and Exponential Moving Average (EMA). Meanwhile, the meme coin’s 3-day Relative Strength Index (RSI) is at historic lows.
The analyst acknowledged that if the Bitcoin price holds up and macroeconomic knowledge and financial coverage regulate, then this is likely to be the final alternative to purchase DOGE comparatively cheaply. He added that a variety of elements are at play and there’s a lot of labor to do however the threat reward at this degree is “superb” given the circumstances.
Crypto analyst Trader Tardigrade additionally offered a bullish outlook for Dogecoin. He acknowledged that DOGE is forming a 5-wave Ascending Broadening Wedge and is approaching a breakout on the 4-hour chart. The analyst added that after a confirmed RSI bullish divergence, DOGE bounced again to the descending line of the wedge, indicating {that a} reversal could also be imminent.
At the time of writing, the DOGE value is buying and selling at round $0.16, up over 2% within the final 24 hours, based on data from CoinMarketCap.
Featured picture from Adobe Stock, chart from Tradingview.com
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