Dogecoin Price Analysis: Catalysts Supporting the Next Upsurge

Dogecoin (DOGE) increased by 2 percent in the last 24 hours, trading around $0.1814 on Thursday, during the North American trading session. The large-cap memecoin, with a fully diluted valuation of about $26.9 billion and an average 24-hour trading volume of about $1.5 billion, is among the best-performing bullish coins in the top ten cryptoassets. The top reasons why Dogecoin is bullish The bullish trend of Dogecoin is primarily driven by the increase in open interest of futures contracts (OI). Over the past two weeks, the open interest of Dogecoin has risen from about $1.3 billion to around $2 billion at the time of writing. Additionally, the Dogecoin network has recorded a significant increase in whale activity, led by fund managers such as 21Shares, looking to offer a spot DOGE ETF. The Dogecoin ecosystem has evolved into a strong online community, primarily gathered by tech billionaire Elon Musk. Meanwhile, the core developers of Dogecoin have been working on a major network upgrade to enable DeFi development that competes with other layer one chains like Ethereum and Solana (L1). Analysis of DOGE price As Bitcoin price signals the next bullish trend in the near future, the overall demand for memecoins remains high. The gradual resurgence of FOMO cryptoasset trading has helped DOGE’s price escape a prolonged downtrend lasting several weeks.

In the daily time frame, the price of Dogecoin has formed a reverse pattern, characterized by the formation of an inverted head and shoulders combined with a bullish divergence of the Relative Strength Index (RSI). Additionally, Dogecoin’s daily MACD is about to cross the signal line as buyers gain control. Therefore, the price of DOGE is trending upwards towards 23 cents in the coming days, with a target of 48 cents potentially achievable in the near future.