Dogecoin Dips But Traders Identify This Critical Support Zone For A Bounce

Dogecoin’s (CRYPTO: DOGE) recent price drop has traders speculating about entry points in case a bullish rally resumes.

What Happened: Trader Crypto Daily Trade Signals highlighted a "cup and handle" formation on Dogecoin’s daily chart, a pattern that started in June 2024 with a consolidation phase in October. He identified $0.15 as a critical support zone, suggesting a bounce from here could propel DOGE to $0.22, signaling bullish potential.

The "cup and handle" pattern is a bullish signal in technical analysis, often indicating a potential for significant price increase.

Altcoin Sherpa agrees, recommending an entry at $0.16 for high returns, though he cautions that if current levels don't hold, DOGE could trend toward $0.14. However, he believes that Bitcoin pushing higher would also resume Dogecoin’s rally.

Also Read: Dogecoin’s Rally ‘Has Just Begun For This Cycle,’ Predicts Trader Who Foresees Parabolic Surge In November

Why It Matters: Nov. 2, known as "DOGE Day," celebrates Kabosu, the real dog behind the Dogecoin meme. This day saw over 500 attendees last year, including major media outlets, in a gathering to meet Kabosu and her owner in Japan.

Industry insiders are buzzing with rumors of a potential DOGE integration with X payments on DOGE Day.

Statistics: IntoTheBlock data shows large transaction volume decreasing by 35.6% and daily active addresses moving lower by 8.9%. Transactions greater than $100,000 are down from 670 to 522 in a single day. Exchanges netflows are down by 397.3%.

What’s Next: The influence of meme coins is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

Read Next: 

• If You Invested $1,000 In Dogecoin On Jan. 1, 2021, Here’s How Much You’d Have Today

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