Hello everyone, I am Wu Kong's Xiaowo. I am glad everyone can read this article
Hello everyone, I am Wu Kong's Xiaowo. I am glad everyone can read this article.
If you want to learn more about encrypted messages, you can follow "Gong Zong Hao": Wukong De Xiao Wo.
On Wednesday, the price of Dogcoin hit a three month high of $0.076, a 30 day increase of 23%. On chain analysis focuses on how the growing market demand will affect the price trend of DOGE in the coming days.
Dogcoin prices have become one of the best performing assets in the meme market this week, leading the chart with the largest increase. Can bulls continue their gains to the elusive $0.10 range?
Dogcoin Whale has invested $2 billion in the past 30 days
In recent weeks, as cryptowhale investors have shifted their attention to the meme market, Dogcoin has benefited greatly. According to data from IntoTheBlock, the number of DOEs held by whales worth at least $100000 has increased from $7.65 billion to $9.35 billion since October 8th. This means that cryptowhales have increased their investment by $1.7 billion in the past month.
The Whale Balance Chart tracks real-time changes in the number of tokens held by large investors. The blue trend line above illustrates how whales have increased their holdings by $1.7 billion in the past month.
Typically, a significant increase in whale holdings clearly indicates the confidence of large institutional investors in the price outlook of DOGE.
Retailers are also starting to purchase
In addition to the growing demand for whales, the purchase orders in the retail market for dog coins have now exceeded the supply in the spot market. The order summary data of 10 cryptocurrency exchanges, including Binance and Coinbase, shows that bulls have placed 872 million buy orders for DOGE near the current price. At the same time, traders only proposed to sell a total of 810 million DOGs.
The total order book chart summarizes all the buy/sell orders currently listed by traders on various centralized cryptocurrency exchanges. Usually, when the number of buy orders exceeds the number of sell orders (as mentioned above), it indicates an overwhelming buying momentum in the entire dog coin market.
Therefore, due to the fact that the number of DOGE coins sold is less than the demand, buyers may need to increase their bid to quickly complete the order. This may unintentionally push the DOGE price towards the market of $0.10 next week.
DOGE Price Forecast: The Road to $0.1?
The above on chain statistics show that investors are generally optimistic about the sentiment towards DOGE.
The global fund inflow/outflow data shows the historical purchasing trends of current dog coin holders, which also confirms this prediction. It indicates that the $0.081 area is the most important resistance level for DOGE.
As shown in the figure below, 740950 addresses purchased 18.05 billion DOGE at the highest price of 0.081 US dollars. If they close their positions too early, it may lead to an early retreat in the price of dog coins.
But if crypto whales continue to purchase dog coins, the price increase may reach the expected $0.10.
In addition, if the price of dog coins drops below the $0.050 mark, short positions may invalidate the prediction. But in this case, an initial support wall of around $0.065 may be difficult.
The above figure shows that there are currently 436210 addresses holding 14.96 billion DOGE, with a maximum purchase price of 0.066 US dollars. If they continue to hold, they may prevent a significant drop in the price of DOGE.
Disclaimer: The content of this article is sourced from the internet. The copyright of the text, images, and other materials belongs to the original author. The platform reprints the materials for the purpose of conveying more information. The content of the article is for reference and learning only, and should not be used for commercial purposes. If it infringes on your legitimate rights and interests, please contact us promptly and we will handle it as soon as possible! We respect copyright and are committed to protecting it. Thank you for sharing.(Email:[email protected])
