Dogecoin (DOGE) has seen its price rise by nearly 10%, spurring a renewed interest among larger market participants, as evident by the increase in average transaction sizes. This suggests institutional investors or whales might be entering the market, potentially driving further price movements.
Technical indicators like the Directional Movement Index (DMI) show an uptrend, with significant buying pressure indicated by the difference between the D+ and D- lines. However, the trend strength, reflected by the ADX value of 19.57, remains weak, suggesting limited robustness for a sustained rally.
The Exponential Moving Averages (EMA) for DOGE reflect a bullish alignment, yet the trend appears relatively weak due to the limited distance between short-term and long-term EMAs. If momentum sustains, DOGE may test resistance levels; otherwise, a correction could lead to a 30% fall to lower support levels.
In summary, while the current outlook for DOGE is positive, the potential for a 30% correction exists if market enthusiasm diminishes, indicating a cautious approach for investors.
