- DOGE has found strong support at $0.1278, sparking a potential bullish reversal.
- Metrics signaled a building momentum for an upward rally.
Dogecoin [DOGE] was showing some bullish reversal signs after testing an important level of support at press time. The memecoin’s price trend showed that buyers might be returning, which could signal an increase.
DOGE has shown significant buying interest around the $0.1278 level in recent times, serving as a vital support zone.
This price breaking point has been significant for the short term direction of the asset, following some of its prior demand areas.
This support zone has already witnessed a notable surge in buying pressure following prior rejections at the level. Investors are keenly on the lookout, as the support level could signal a price reversal.
Source: TradingView
The Relative Strength Index (RSI) has just begun to bend upward from an oversold area, implying a possible change in momentum.
Surge in DOGE’s whale activity
The AMBCrypto analysis of the IntoTheBlock data indicated interesting insights about DOGE.
The global in/out of the money data revealed that a significant portion (76.82%) of people holding DOGE were still in the money, which suggested that the asset has an optimistic long-term perspective.
Source: IntoTheBlock
To add to the aforementioned, the number of large DOGE transactions has spiked, indicating increased whale activity. These moves by market big players may suggest significant price movements.
In the case of Dogecoin, if a significant move is witnessed, the price could rally to the next resistance zone at $0.1431.
Source: IntoTheBlock
$0.1439 in focus
Should the current bullish momentum continue to build, DOGE might set its sights on the resistance level of $0.1439.
This price level has acted as both support and resistance previously, which makes it a significant key level for investors.
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If a successful breakout above $0.1439 occurs, this may fuel more buying pressure, thus allowing bigger gains to happen.
However, investors should be wary of overall crypto market sentiments, which will be crucial in determining if DOGE can reach that target or not.
