- Despite the ranking of high in market capitalization, Doge has attracted the lowest liquidity at TopMemecoins.
- Analysis showed that doge could reach new heights, because technical indicators indicate a possible outbreak.
Dogecoin [DOGE] Last week fell by 16.23% and marked a considerable drawing for investors.
However, analysis suggests that DOGE can resume a bullish this week, whereby the assets up trending up as both the place accumulation and derivatives will increase long bets at the same time.
Low liquidity puts DOGE behind
The 90-day performance index of Coinmarketcap shows that Dogecoin has attracted the least liquidity by market capitalization under the leading memecoins, despite a market capitalization of $ 28.6 billion.
At the time of writing, Doge has only won 0.04% in the past ninety days. Fartcoin, on the other hand, with a market capitalization of $ 1.11 billion, has risen by 368% in the same period.
Source: Coinmarketcap
Despite this underperformance, market analysis indicates that Doge could prepare for a rally.
On the daily period of time, Dogecoin has exchanged in a critical level – a rising support line.
This zone could act as a catalyst for a large price movement, with a goal at $ 0.25, which represents a 33% rally from the current price level.
Source: TradingView
However, if Doge does not build up sufficient momentum, the price can reverse and re -test the origin of the rising pattern near $ 0.14.
Retail traders take a party
Retail traders have started taking positions on the derivatives market, with a noticeable increase in long bets.
At the time of the press, the long/short ratio was 1.01, which indicates a tilt on bullish sentiment. A ratio above 1 implies a higher purchase volume than selling volume, which strengthens the case for a rally.
Source: Coinglass
A close interest (OI) examination in both options and futures contracts shows a steady increase. OI represents the total value of restless derivative contracts within a specific period.
At the time of writing, OI reached $ 2.06 billion in the Futuresmarkt, while the option market is $ 347,000. Persistent growth in OI In addition to an increasing volume of purchase suggests that Doge can continue to climb.
Doge could see more inflow
In the last 24 hours, Doge has seen remarkable inflow, with $ 4.77 million in tokens to private wallet moved by spot traders.
Source: Coinglass
When a large amount of tokens exchanges and in private portfolios, this usually indicates accumulation pending a long-term rally.
This also means that the tokens return less quickly to the market for sale. If such intake continues, doe could be trend to the purpose of $ 0.25 on the graph.