DOGE Climbs 11%, Is a Correction Imminent?

Dogecoin (DOGE) is currently trading around $0.18, following an 11% increase. Daily trading volume has surged by over 96%.

This strong upward movement has resulted in a 6.72% increase in market capitalization, reaching $24.95 billion (Note: The original figure of $2.95 trillion seems to be an error). The overall meme coin market cap has also seen significant growth, reaching $58 billion after a 16.3% jump. Dogecoin's performance within the meme coin market stands out, with a gain exceeding 11.69%.

DOGE began the day trading at a low of $0.1633, but bullish momentum pushed the price to a high of $0.1849. At the time of writing, DOGE is trading around $0.1829, with a market cap of approximately $27.25 billion. Daily trading volume has reached $1.95 billion. CoinGlass data indicates liquidations of $12.86 million worth of DOGE.

Over the past seven days, Dogecoin has gained over 18.97%, rising from an opening price of $0.1517.

Potential Trend Shift for DOGE?

DOGE's Moving Average Convergence Divergence (MACD) line is attempting to cross above the zero line, while the signal line remains below. This suggests an early stage of bullish momentum. However, if the MACD remains below zero, further downward pressure is possible.

The Chaikin Money Flow (CMF) indicator, currently at 0.14, indicates moderate buying pressure. This, coupled with the significant increase in daily trading volume (over 96.65%), suggests market activity.

If DOGE fails to maintain a price above $0.1823, a decline towards the $0.17 support level is possible. A sustained drop could lead to a "death cross" pattern and potentially deeper corrections.

Conversely, a price recovery could see DOGE reclaim resistance at approximately $0.1833. Strong bullish momentum could result in a "golden cross" pattern, potentially pushing the price towards $0.1850.

The Bull Bear Power (BBP) value of 0.03546 suggests bullish dominance with mild upward momentum. The daily Relative Strength Index (RSI) of 60.41 indicates a neutral-to-bullish sentiment.