NEW YORK - Dogecoin, the meme-inspired cryptocurrency, is witnessing a tug-of-war between bullish and bearish sentiments as traders navigate the market's volatility. Following a three-month peak on November 8, with Dogecoin reaching $0.082, the digital currency encountered resistance and entered a consolidation phase. Over the next week, its value decreased by 10% to $0.074.
Despite this decline, trading activity remained robust. On November 8, daily transactions soared to 307,810 and continued to exceed 100,000 over the subsequent ten days. As of Today, bullish traders are fiercely defending the $0.07 support level with high demand for Dogecoin in the market.
On-chain analysis from multiple crypto exchanges reveals that buy orders are currently outstripping sell orders by approximately 48.5 million coins beyond the 710 million DOGE listed for sale. This indicates a strong interest among traders to "buy the dip." The Global In/Out of the Money (GIOM) data further underscores this sentiment, showing a substantial support base around the $0.07 price level where 385,090 holders have purchased 52.3 billion DOGE at this average price.
Should these holders maintain their positions, there is potential for a price rebound for Dogecoin. Conversely, if bearish traders manage to push past this support level, DOGE's price could decline to $0.06. On the flip side, an ascent toward $0.1 might encounter resistance due to 266,430 holders who have acquired 18.01 billion DOGE at a minimum of $0.081, potentially creating a sell wall at this threshold.
Dogecoin's market cap currently stands at $10.20 billion, ranking it #10 among cryptocurrencies. The recent price movements have been accompanied by a slight increase in circulating supply to 141.83 billion coins and a reduction in trading volume by 17% over the past week.
As the market continues to fluctuate, Bitcoinworld. co. recommends investors proceed with caution and conduct thorough independent research before making investment decisions.
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