In the last 24 hours, the price of meme-based cryptocurrency Dogecoin surged 14%, now approaching $0.20. This surge happened after a tweet from Elon Musk, proving once again his influence in the market. Interestingly, Musk is lately referred to as “DOGEFather.”
Dogecoin’s market sentiment currently seems balanced. According to the MVRV Long/Short Difference metric, long- and short-term holders are almost equal in profit and loss levels. This balance indicates a stable environment without extreme advantages for either group. This is a healthy indicator for Dogecoin’s current state.
Metrics also reveal strong macro momentum for Dogecoin. Around 29% of DOGE investors are seeing profits, a level that often triggers some selling, which could lead to short-term price shifts. This profitability could lead some investors to cash in, adding a bit of selling pressure and potential short-term volatility.
Will DOGE Break the Six-Month High?
While Dogecoin’s price approaches $0.20, a new six-month high is near. This target is 21% above its current trading value, however analysts see a resistance point at $0.17 that may slow its progress. If this level holds firm, it could pause the rally and introduce temporary downward pressure.
However, if DOGE breaks past the $0.17 resistance, it may push closer to $0.20, driven by renewed momentum. Failing to do so might see DOGE dip back to $0.14, posing a challenge for the uptrend.
