Dogecoin Set to Skyrocket: Is a 10X Surge to $3.0 Imminent?

As a researcher, I’ve observed an uptick in the Dogecoin price, which now stands at approximately $0.38. Over the past 24 hours, its volatility has been relatively low at 2.4%, but its trading volumes have significantly increased by nearly 18%, reaching a staggering $4.26 billion. The technical chart for DOGE appears to be shaping up in a manner reminiscent of the massive bull run we saw back in 2021, which could potentially indicate another surge is on the horizon.

Ali Martinez, a well-known cryptocurrency analyst, pointed out that Dogecoin’s price started its second bullish phase on January 25, 2021, following a 56% drop from its previous peak. After surging in 2024, the DOGE price has experienced a 46% decline over the recent weeks. This suggests that Dogecoin might be preparing for a significant surge.

Source: Ali Charts

If historical patterns hold true, Dogecoin might initiate its next bullish phase as soon as the upcoming week, igniting fresh enthusiasm among investors, according to Martinez’s observation. Examining derivative data from CoinGlass, we see that the open interest for DOGE has risen by 6.3%, surpassing $4.73 billion. This suggests a growing fascination among traders for the meme coin.

Over the past few days, the value of Dogecoin has remained above the significant barrier of $0.36 – a level it surpassed just recently. With Donald Trump’s inauguration on January 20 fast approaching, there’s been an increase in excitement and speculation within the market.

An increase in retail enthusiasm and a surge in social media conversations might push the value of the meme coin even higher. This could be especially true if worries about significant economic risks start to lessen.

Dogecoin Open Interest on the Rise

Over the past three days, there’s been a substantial rise in active Dogecoin positions, totaling approximately $570 million in fresh contracts.

As reported by CoinGlass on January 16th, the combined value of open positions for Dogecoin (DOGE) futures contracts is approximately $4.73 billion. This represents a 15% increase in open interest, which exceeds the 10% rise in DOGE’s spot price. This disparity implies that traders using leverage are expecting continued bullish trends for Dogecoin.

Source: Coinglass

Increased open interest outpacing Dogecoin’s price growth suggests traders are eager to maintain their positions, potentially pushing the Dogecoin price beyond its current resistance of around $0.40 within a short timeframe.

DOGE Price Rally to $3

To kick off a massive surge in Dogecoin’s price, it needs to surmount its immediate resistance first. If Dogecoin (DOGE) manages to break past the $0.4007 barrier, this could potentially lead to additional growth towards $0.45, driven by the force of accumulated long positions. Nevertheless, if DOGE fails to maintain levels above $0.35, it might face bearish threats such as selling pressure or the closure of leveraged positions.

Source:  Investments CEO

Conversely, an influential CEO from an Investments firm, known for his analysis, has posted a Dogecoin chart that appears to mirror the setup preceding the 2021 bull run. If this pattern recurs, it might lead to a surge reaching as high as $3.0.

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2025-01-16 19:06