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Posted:
- The number of DOGE holders exceeded 5 million and reached an ATH.
- Market indicators looked bearish on the meme coin.
Dogecoin [DOGE] has seen a promising rally in recent weeks, allowing its market capitalization to rise.
However, DOGE’s weekly chart revealed a key resistance level that the meme coin must cross to maintain its uptrend.
Dogecoin is approaching a major resistance level
CoinMarketCaps facts revealed that the price of the top meme coin has increased by more than 8% in the past seven days. In the last 24 hours alone, DOGE rose by more than 4.5%.
At the time of writing, DOGE was trading at $0.08107 with a market cap of over $11 billion.
IntoTheBlock’s data even showed that market confidence in DOGE had also increased dramatically in the recent past. This was evident from the fact that the total number of Dogecoin holders reached a record high of over 5 million.
💥 JUST IN: The number of addresses that are fixed $DOGE has just reached an all-time high. For the first time, more than 5 million addresses have been retained #dogecoin according to analysis of @intotheblock pic.twitter.com/k4HQVcK5bZ
— Crypto Chefs (@cryptochiefss) November 28, 2023
However, while things looked promising, DOGE must overcome a challenge to maintain the bull run. Ali, a popular crypto analyst, recently posted a tweet explaining how DOGE faces a major hurdle at $0.087.
He said:
“This crucial level is marked by the convergence of the 0.786 Fibonacci level and both the 100-week and 200-week EMAs.”
According to the analyst, if DOGE manages to rise above this level, the chances of the meme coin doubling its price will become much higher.
#Dogecoin | The weekly chart shows $DOGE faces a major hurdle at $0.087. This crucial level is marked by the convergence of the 0.786 Fibonacci level and both the 100-week and 200-week EMAs.
Breaking this barrier could open the gates #DOGE to almost double the price,… pic.twitter.com/ALOUDuwKAy
— Ali (@ali_charts) November 28, 2023
The probability that DOGE will break above $0.087
AMBCrypto checked Hyblock Capital’s data and found that DOGE was facing strong resistance around $0.081. Specifically, the meme coin’s price tested that level twice last week and failed to rise above it.
Source: Hyblock Capital
Read Dogecoins [DOGE] Price prediction 2023-24
Some market indicators also pointed to the possibility of this happening DOGEs the sideways price action was high. For example, both the Money Flow Index (MFI) and the Relative Strength Index (RSI) moved sideways.
However, things could change in the meme coin’s favor as the MACD showed the possibility of a bullish crossover, which indicated that the meme coin could rise above the aforementioned resistance levels.
Source: TradingView
