Dive into Dogecoin’s Potential to Ignite an Altcoin Surge

Dogecoin's Potential to Ignite an Altcoin Surge

Dogecoin (DOGE), the largest memecoin, continues to generate market activity. Over the past 24 hours, DOGE has experienced a 3% decline, currently trading at $0.166, and a 6.8% decrease week-over-week. CCN, a cryptocurrency analysis firm, reports a negative Dogecoin funding rate, indicating bearish investor sentiment. A high Network Value to Transactions (NVT) ratio further suggests speculation outweighs actual usage. Analysts warn that without increased short-term investor interest, DOGE's price could fall to $0.10. Conversely, breaking the $0.18 resistance level could signal a significant price recovery.

Analyst Perspectives on Dogecoin

Some analysts foresee potential upward movement for DOGE. While its all-time high was $0.73 in May 2021, analysts suggest breaking this level could propel DOGE towards $1.

Analyst Ali Martinez notes DOGE is testing the crucial support level of $0.167. He suggests that holding above this level could lead to a move towards $0.175, and potentially $0.183.

Altcoin Dogecoin

TradingView analyst GreenCrypto observes a "Rising Wedge" pattern on DOGE's weekly chart, suggesting a potential long-term upward trend since 2023. Completion of this pattern could result in a 582% surge, reaching $1.161. However, GreenCrypto cautions that a price drop below the $0.177 support level could indicate further declines.

Could a Dogecoin Rally Trigger Altcoin Season?

Analyst Cas Abbe believes a Dogecoin rally could trigger a long-awaited altcoin season. He points out that significant DOGE price increases since 2017 have often preceded altcoin season rallies.

Altcoin DOGE Rally

Abbe suggests that for a new altcoin bull market to begin, DOGE needs to surpass $0.22. Furthermore, the accumulation of over 100 million DOGE coins by large investors (whale wallets) in the past week hints at a potential price increase.