Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. Several catalysts have emerged that point to a sustained upward momentumfor the Dogecoin price. This comes amid DOGE’s 26% gain to begin the year, with the meme coin now looking to break above the $0.15 resistance. Factors That Could Contribute To A Sustained Dogecoin Price Rally
One factor pointing to a sustained Dogecoin price rally is the recent inflows into DOGE ETFs. SoSoValue datashow that Bitwise and Grayscale’s funds have recorded net inflows on two of the three trading days this year. Notably, the Dogecoin ETFsrecorded inflows of $2.30 million and $1.60 million on January 2 and 5, respectively. This marked the first consecutive daily net inflows since December 3 last year. Related Reading Analyst Says the Worst Is Over For Dogecoin, Predicts Rally To $0.8 1 day ago
The daily net inflows into the DOGE ETFs indicate a renewed interest among institutional investors in the meme coin, which is a positive for the Dogecoin price. DOGE could see a sustained rally if the inflows into these funds continue. Notably, Bloomberg analyst Eric Balchunas notedthat a 2x Dogecoin ETF has had the best start to the year among all ETFs, up almost 40%.
Furthermore, activity in the derivatives market also supports a sustained rally for the Dogecoin price. CoinGlass datashows that traders on top exchanges such as Binance and OKX are currently long. The long/short ratio on Binance is 2.06, well above 1. The long/short ratio for top traders on Binanceis at 2.5, which is also a huge positive.
Further data from CoinGlass also shows that the derivatives trading volume has surged over 2% to $5.60 billion. However, open interest has dropped by almost 7% to $1.78 billion, likely due to the market volatility as long positions were wiped out. DOGE Eyes Break Above $0.15
Crypto analyst ZiP stated in an X postthat on the daily chart, the Dogecoin price is currently reacting to a local resistance at around $0.15. He further remarked that if the $0.15 resistancebreaks, the next zone that the DOGE price may aim for is around $0.24. The analyst noted that this is where the first significant Fibonacci level, measured from the entire bearish move, is located. Source: Chart from ZiP on X
Meanwhile, ZiP mentioned that an additional reference point is the daily pivot at $0.1288, which he noted in the short term defines the market’s equilibrium level. Crypto analyst Trader Tarigrade revealedthat the Dogecoin price has broken out of a falling wedge, showing strong upward momentum. Based on this, he predicted that DOGE is ready for a major surge, although he warned that the meme coin might retrace briefly.
Related Reading: Dogecoin Price Could Rally To All-Time Highs If It Breaks This Resistance Level
At the time of writing, the Dogecoin price is trading at around $0.148, down over 2% in the last 24 hours, according to datafrom CoinMarketCap. DOGE trading at $0.15 on the 1D chart | Source: DOGEUSDT on Tradingview.com Featured image from Getty Images, chart from Tradingview.com