Dogecoin Price Forecast After the Strong Comeback of DOGE
The price of Dogecoin (DOGE) has surged recently as other cryptocurrencies have also seen a rally. The coin rose to a high of $0.076 yesterday, the last time the price was this high was on June 27 this year. From its lowest level this year, DOGE rose by about 50%, bringing its total market capitalization to just over $9 billion. Right now, the DOGE price has fallen a bit and is $0.0687 at the time of writing.
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Why is the price of DOGE rising?
Dogecoin and other meme coins like Shiba Inu, EverGrow, and Dogelon Mars have rallied in recent days. However, there have been no major announcements that would specifically affect these ecosystems. Rather, this rally is mainly due to the ongoing situation in the markets. Recently, the prices of both cryptocurrencies and stocks have risen.
As for other cryptocurrencies, Bitcoin, for example, managed to overcome the important resistance at $23,000, while Ethereum traded at $1,600 in the meantime. Thus, Ether has risen by more than 80% from its low point this year. In the process, the second-largest coin benefited not only from its correlation with Bitcoin, but also from the fact that investors are optimistic about the long-awaited Ethereum merger, which is now scheduled to take place in September.
The stock market has also seen green numbers again recently. The Nasdaq 100 index has risen in recent days, despite the fact that some companies have released weak Q2 results. These include Netflix, IBM, and JP Morgan, for example.
The Federal Reserve is another possible factor that led to the price increase in Dogecoin and other cryptos. The Federal Reserve has already raised the benchmark interest rate by 150 basis points this year, and analysts believe that there will be a few more hikes this year. However, they believe the bank will hike rates by 75 basis points next week instead of the expected 100 basis points.
Finally, the DOGE price has recovered due to the relatively weak U.S. dollar. After rising to $109.30 last week, the dollar index has fallen in recent days to the current $106.
Dogecoin’s price forecast
From a chart point, the DOGE price made a strong comeback in the last few days. The coin managed to rise above the moving average lines of the last 25 and 50 days. The cryptocurrency had also approached the important resistance at $0.077. At the same time, the Relative Strength Index (RSI) has moved into the overbought territory.
The Dogecoin price could continue to rise if the bulls try to go above the resistance at $0.09. This price is about 20% above the current level.
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