Dogecoin (DOGE) Price Analysis: Can It Reach $0.36 In April?

full version at beincrypto

DOGE’s price surge to its highest level since December 2021, coupled with bullish EMA signals, highlights its positive momentum. The uptrend is supported by a rise in addresses holding over 10 million coins, indicating strong investor confidence.

Despite a notable 20% surge in a single day, the 7-day RSI suggests that DOGE still has room for further growth. That growth comes after Coinbase Futures announced it will list the future for DOGE. This indicates persistent momentum behind Dogecoin, potentially driving its price even higher in the near future.

Whales Are Still Accumulating DOGE

The DOGE market is currently riding a wave of increased interest from large-scale investors, evidenced by the notable rise in the number of addresses holding a significant amount of DOGE — specifically, those with 10M to 100M coins — from 520 to 551 in the span of less than two weeks. Concurrently, the DOGE price has seen a jump, ascending from $0.14 to $0.20.

Addresses holding between 10M and 100M DOGE. Source: Santiment.

This enthusiastic accumulation by whales signals a deep-seated confidence in the future of DOGE, underlining the sentiment with a hefty influx of capital from these substantial investors. This kind of aggressive buying behavior from whales is often regarded as a precursor to broader market appreciation.

They have the clout to constrict supply significantly, thus potentially catalyzing a surge in price due to the supply-demand dynamics. That suggests whales are bracing for a continued or even more pronounced increase in the value of DOGE, hinting that we might be on the cusp of an extended bullish phase in the DOGE market.

Even After the Recent Pump, RSI Is Still Healthy

Even after the recent upward journey on DOGE’s price, the slight dip in its Relative Strength Index (RSI) from 80 to 79, despite remaining above the typical overbought threshold of 70, unveils a bullish narrative.

DOGE RSI 7D. Source: Santiment.

Despite the slight RSI reduction, DOGE maintains strong buying pressure, hinting at potential growth. The RSI, indicating overbought or oversold conditions, underlines market dynamics. While an RSI above 70 typically denotes overbought conditions and below 30 denotes oversold, DOGE’s scenario differs.

The sustained demand, reflected in a high but slightly decreasing RSI, contradicts conventional wisdom. This suggests continued investor confidence and potential for further growth.

DOGE Price Prediction: Can It Reach $0.36 in April?

On the 4-hour DOGE price chart, a significant technical event occurred on March 22: the formation of a Golden Cross, where short-term Exponential Moving Average (EMA) lines have crossed above the long-term EMA lines. This crossover, with all EMA lines now positioned below the current price, is a bullish signal often interpreted as a potential for upward price movement.

DOGE 4H Price Chart. Source: TradingView.

EMA lines, which give more weight to recent price data compared to Simple Moving Averages (SMAs), are key indicators used to assess market momentum and trend direction. The fact that short-term EMAs are above the long-term ones while also sitting below the current price suggests strong buying pressure and positive momentum for DOGE.

Additionally, DOGE has been consistently breaking through resistance levels, showcasing its bullish momentum. The next significant resistance lies around $0.36, a level not seen since May 2021.

Reaching this price would represent a potential 71% increase from its current standing, marking a significant milestone for DOGE. However, a shift towards a downtrend could potentially bring DOGE’s price down to $0.12.