Dogecoin Positioned for Additional Growth? DOGE Holders Hopeful for $0.50 Price Objective as Selling Pressure Eases

On November 20, Dogecoin made a significant recovery, regaining the $0.40 mark after a 15% decline from its three-year high of $0.44, which was achieved on November 12. The recent price movements suggest a possibility for additional increases as the selling pressure from long-term holders has notably diminished.

The Age Consumed metric for Dogecoin has seen a remarkable decrease of 95% from the peak recorded last week, indicating that fewer long-held tokens are being exchanged, which may facilitate another upward trend.

Source: Cryptonews.com

The market conditions for Dogecoin have turned favorable. The Volume-Weighted Average Price (VWAP) is now situated below the market price, indicating an increase in short-term demand.

As on-chain transaction flows show a reduction in selling pressure, DOGE seems poised for a potential rise towards the $0.50 price target.

Dogecoin Positioned For Additional Gains After Selling Pressure Eases: Is $0.50 Price Target Achievable?

This recent price activity has been driven by various factors, including market sentiment related to political events and changes in on-chain metrics that indicate a reduction in selling pressure from long-term holders.

The positive momentum for Dogecoin can be linked to the announcement of Elon Musk’s participation in the proposed Department of Government Efficiency under former President Donald Trump.

pic.twitter.com/Vnk4MCAofY

— Elon Musk (@elonmusk) November 13, 2024

This news generated considerable enthusiasm among investors, pushing DOGE to its recent peaks and contributing to an impressive 185% rise over the past month.

However, as traders began to secure profits following this increase, the price experienced a correction, falling to approximately $0.37 before recovering.

A significant indicator of market sentiment is the Age Consumed metric, which assesses the activity of long-term holders by multiplying the tokens traded by the number of days since their last movement.

After the recent price surge, this metric peaked at around 1 trillion DOGE as long-held coins entered the market.

As of November 20, this number has dropped to just 49 billion DOGE—reflecting a 95% decrease in selling pressure.

This steep decline suggests that fewer dormant tokens are being traded, which could result in rapid price increases if demand continues to grow.

Source: Cryptonews.com

The volume-weighted average price (VWAP) has also shifted positively for DOGE, which is now above the current market price.

This indicates that short-term demand is increasing, with buyers willing to pay higher prices instead of waiting for market orders to be filled at lower levels.

This behavior signifies an accumulation phase where investors are optimistic about future price movements.

From a technical analysis standpoint, Dogecoin’s current price action exhibits promising bullish momentum.

The VWAP is approximately $0.395, suggesting that most buyers are bidding higher prices to secure their positions.

The Donchian Channel indicator shows that DOGE encounters initial resistance at the $0.44 level—the peak reached last week—while support is established around $0.29.

Source: Cryptonews.com

A breakout above the $0.44 resistance would indicate a continuation of the upward trend and potentially target the psychological milestone of $0.50.

Analysts are closely observing these critical levels as they evaluate Dogecoin’s potential path.

If DOGE can sustain its position above key support levels and break through resistance at $0.44, it could set the stage for further gains towards its all-time high of $0.73.

On the other hand, if selling pressure resurfaces and drives prices below support levels near $0.29 or $0.20, it could trigger a more significant correction.

Moreover, external factors such as market sentiment towards cryptocurrencies and broader economic indicators will play a vital role in influencing Dogecoin’s future price movements.

The Fear & Greed Index currently shows a reading above 80, indicating extreme greed in the market. This sentiment could result in volatility as traders respond to potential profit-taking opportunities.

Source: alternative.me

While Dogecoin’s recent performance suggests strong bullish potential driven by diminished selling pressure and favorable market sentiment, investors should remain cautious regarding key resistance and support levels that will influence its near-term direction.

Best Wallet Token – Is this the Next Utility-Based Token Like Dogecoin?

As Dogecoin and other cryptocurrencies gain popularity, Best Wallet Token ($BEST) is emerging as an intriguing opportunity for investors seeking to enhance their crypto management experience.

This wallet is designed to offer users exclusive advantages within its ecosystem. Best Wallet Token provides features that cater to both casual and experienced crypto enthusiasts.

By purchasing $BEST tokens directly within the Best Wallet app before November 25th, users can benefit from reduced transaction fees across the entire Best Wallet ecosystem.

This feature enhances cost efficiency and encourages users to engage more actively with their crypto assets without the concern of excessive fees impacting their profits.

In addition to cost savings, holding Best Wallet Tokens grants users early access to trusted presales and new projects before they launch in the market.

This unique benefit allows investors to take advantage of emerging opportunities and potentially gain rewards before they are available to the general public.

Best Wallet Token holders will also enjoy higher staking rewards through the platform’s staking aggregator.

Users can earn annual percentage yields (APYs) by participating in staking activities, maximizing their investment potential while contributing to network security.

A significant aspect of Best Wallet Token is its governance rights, which enable token holders to vote on important decisions within the Best Wallet ecosystem.

While Dogecoin’s recent price movements indicate bullish potential as it nears critical resistance levels, Best Wallet Token offers an appealing opportunity for those looking to enhance their cryptocurrency management experience with added benefits and community involvement.

Buy BEST Here

The post Dogecoin Set Up For Further Gains? DOGE Investors Optimistic on $0.50 Price Target As Selling Pressure Drops appeared first on Cryptonews.