Dogecoin (DOGE) price has seen an accelerated rise in the past week and has achieved all-time highs. DOGE, which saw $ 0.145 for the first time on April 14, valued more than 120 percent in just one week.
What were the factors that increased the DOGE price, which started to rise on April 10 and exceeded the strong resistance of $ 0.087 as of April 13? What can be expected next in the Dogecoin price? Let’s examine it over the graphics.
DOGE/USD – Dogecoin teknik analiz
Daily candlestick chart (Binance) for the DOGE / USDT pair. Source: TradingView
The sharp rise in the last few days pushed the relative strength index (RSI) above 85. So this ascension process is slowly coming to the saturation point. The goal of the bears seems to be to keep the upward move at $ 0.15. As can be seen from the long wicks that have been formed for two days, the DOGE / USDT parity may enter a small correction or consolidation process.
If the price drops, the initial support will be $ 0.112, observed at the 38.2% Fibonacci retracement level. If there is an upward bounce from this support, the price could rise above $ 0.145 and the pair could move up to $ 0.2.
On the other hand, if there is a breakdown below $ 0.112, a decline to $ 0.087 is possible.
Why is Dogecoin soaring?
There are three main reasons why DOGE has been climbing in a week: Elon Musk’s tweets, the resurgence of altcoins, and the positive feelings about cryptocurrency in general.
Leading altcoins such as XRP, Tron (TRX) and Stellar (XLM) reached an all-time high, while a new record of over $ 64,000 was set in the price of Bitcoin (BTC).
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XRP has hit above $ 1.5 for the first time in more than three years. This shows that the profits made with Bitcoin and Ethereum (ETH) are transferred to altcoins in the short term. The acceleration of the altcoin market has played an important role in the rise of Dogecoin over the past few days.
In addition to the momentum in altcoins that directly triggered Dogecoin’s uptrend, Elon Musk tweeted about DOGE once again on April 15th.
Doge Barking at the Moon pic.twitter.com/QFB81D7zOL
— Elon Musk (@elonmusk) April 15, 2021
Musk recently wrote “Doge Barking at the Moon” with a visual that points to higher DOGE prices.