Dogecoin has once again rebounded at support around $0.31 in the past 24 hours. This rebound comes after a 10-day decline that saw it erase most of its gains in the first half of the month. However, the bulls have been able to defend the $0.31 support level once again to prevent further price declines.
With the successful rebound now looking like it is done, the next question is whether it can sustain this positive momentum and break above the $0.4 mark, leaving the $0.3 range behind for good. According to an analyst on the TradingView platform, the combination of Elon Musk’s influence, technical indicators, and trends in the broader crypto ecosystem means Dogecoin will shoot above this level soon.
Dogecoin Price Pump Above $0.4 Is Imminent
Dogecoin is yet to sustain a strong decisive move above $0.4 this market cycle and has spent the most time ranging between $0.3 and $0.4. According to insights by crypto analyst MadWhale, this could change soon with recent market dynamics surrounding Dogecoin’s role in the crypto industry.
Number one, Dogecoin has gained significant prominence alongside billionaire Elon Musk. Musk’s vocal support has increased Dogecoin’s position from just the most prominent meme coin among thousands, making it a staple in his business ventures. His upcoming blockchain-powered payment platform, XMoney, is set to integrate the meme coin across his companies, including Tesla and SpaceX. This initiative could increase the demand for DOGE and further solidify its relevance in Musk’s ecosystem outside the crypto industry.
In addition, Musk’s connection with Donald Trump and their shared engagement with cryptocurrency has drawn renewed attention to the sector before and after the US elections. This collaboration has increased interest among cryptocurrencies, with Dogecoin being one of the primary beneficiaries of this surge in interest.
Technical Indicators And Market Momentum Indicate Pump Above $0.4
From a technical standpoint, analysts have predicted various bullish price targets for Dogecoin using technical indicators and market cycles. This sentiment was also echoed in the analysis of DOGE’s pump above $0.4. A decisive break above the upper trendline of its current channel would solidify the bullish outlooks, even if it were to retest the trendline.
Lastly, Dogecoin is tied to broader trends in technology and the crypto space and is in a prime position to benefit from the booming artificial intelligence industry. This rise of artificial intelligence is expected to influence cryptocurrency trading and market dynamics moving forward. Given Musk’s active role in both artificial intelligence and crypto, Doge could benefit from AI advancements and see Dogecoin become integrated into the combination of the two industries. This, in turn, could be the last push needed to sustain a move above $0.4 and reach a new price all-time high above $0.7316.
At the time of writing, DOGE is trading at $0.33 and is up by 6% in the past 24 hours.
Featured image from Adobe Stock, chart from Tradingview.com
