Dogecoin is currently on an uptrend and is experiencing massive gains. Its performance over the last 24 hours has been filled with a lot of volatility. A closer look at the chart reveals it is seeing one of its biggest 1-day surges.
It started the current at $0097 but dropped to a low of $0.093 before rebound. After finding support, it surged and broke several resistances. the first was the $0.10. This marks the first time in more than two months the asset has returned to this critical level. It continued upwards, hitting another key level it hadn’t tested in more than a year. This was the $0.11 barrier. In the end, it peaked at $0.12.
The current trend marks a continuation of the previous day’s bullish pattern. During that session, it started trading at $0.089 and started to surge after a small decline. It tested and broke the $0.092 barrier for the first time in almost two months. It soon broke $0.10 but retraced to a close at $0.097 with gains of more than 9%.
Why DOGE is Surging
Reflecting on price performance this week, it is clear that DOGE is seeing one of its best weeks. It is currently up by almost 36%.
Many wonder what triggered the latest run. Several indications, ranging from the charts to fundamentals.
An analyst named Martinez analyzed the price action of DOGE and according to him patterns that replicate the past bull run which was in 2017 and 2021 seem to repeat itself, he says that if history repeats itself, a parabolic breakout might be seen around April with DOGE coin.
He was able to identify a repetitive pattern in the DOGE chart, noticing a specific kind of formation appearing before each breakout. Martinez thinks this pattern points toward the potential for a similar breakout partner will occur in April 22.
According to Martinez’s analysis, this breakout could surge the price of DOGE to hit $1.7 and next to $3.5 and higher.
His analysis took particular notes of the periods where DOGE saw a significant surge of 8,700% and 23,740% in the year 2017 and 2021 respectively.
Aside from the charts, a few days ago, Ferrari announced that it’ll start accepting dogecoin as payment for its services. All these points to the current and future surges it will have.
In the Coming Days
DOGE current hike appears unsustainable. One reason for this conclusion is that the readings from the Relative Strength Index. The indicators show that the coin is trading above 70. This means that the asset overbought. As with the tradition, it is due for corrections at this time.
If that happens, the altcoin start struggling to keep price above key support. One such level is the $0.11 barrier. It is worth noting that this level has not served as a critical support in recent times. As such, it is hard to predict how it may behave. Nonetheless, it held out well when it was a resistance. The same may play out in the coming days with the reversed roles.
On the other hand, a look at the weekly charts suggests that the next hot spot will be $0.15.
