Telegram Meme Coin DOGS Could Be Ready for a Comeback

Meme Coin Resilience on Display 

Despite its initial drop, DOGS has shown signs of resilience. This resilience has placed it among the top 100 cryptocurrencies worth monitoring. Market interest in meme coins is growing, and DOGS is catching the eye of investors looking for opportunities in this niche sector. 

Buyers Returning to DOGS 

DOGS was launched on August 26, amid news of Telegram CEO Pavel Durov‘s arrest in France. The token’s launch, marked by a volatile Token Generation Event (TGE), saw over 400 billion tokens distributed to users. This influx led to heavy selling, causing DOGS’ price to fall from $0.0017 to $0.0010. 

However, the Money Flow Index (MFI), a key technical indicator that measures capital inflow into a cryptocurrency, is showing an increase. A rising MFI often signals reduced selling pressure and increased buying interest, which can lead to a price increase. 

Market Sentiment Turning Positive 

Alongside the positive MFI trend, the derivatives market for DOGS is also showing signs of optimism. The increasing funding rate indicates that traders are willing to pay to keep their long positions open. This usually reflects broader bullish sentiment in the market. If the funding rate were negative, it would suggest that traders expect further declines. 

Potential Price Movements for DOGS 

Looking at the hourly chart, DOGS appears to be entering a phase of price discovery. This is where the market determines the coin’s fair value based on supply and demand. After its sharp drop from $0.0012, sellers seem to be losing steam, with buyers defending the $0.0010 support level. Holding this level is key for any potential recovery. 

If DOGS can maintain its current support, a push back to $0.0012 could be the next step. However, failure to hold this line might result in further declines. The market will be watching closely to see if DOGS can make a comeback.