The price of Dogecoin has seen a slight decrease amid a broader market crash affecting major memecoins, with a potential for recovery indicated by an increase in trading volume. Despite a 2.07% decrease in the past 24 hours and a 7.88% weekly loss, Dogecoin has still achieved a solid return of 114.47% this month, in line with other leading cryptocurrencies. With the trading volume of Dogecoin surging by 15.13% to $467.72M over the past 24 hours, there may be grounds for upside in the near-term, as the meme coin appears to consolidate and retest key support levels.
The Dogecoin price is currently retesting its support level after trading within a tight range over the past three days, with resistance at $0.13702 and support at $0.13298. The Relative Strength Index (RSI) has risen from 20 to 45 in the past hour, indicating reduced selling pressure and a potential shift towards positive momentum. The moving averages suggest short-term price stabilization and the possibility of a reversal, presenting a potential buying opportunity. However, the long-term bearish sentiment indicated by the 200-day moving average may be influenced by overall negative market sentiment following the US Federal Reserve’s stance on inflation.
With Dogecoin holding a substantial market cap of $19.30 billion, significant gains may be limited for traders seeking faster and more substantial returns. Exploring newer low-cap meme coins like PlayDoge ($PLAY) may offer opportunities for explosive growth. PlayDoge is a meme coin with gaming utility, allowing players to earn rewards by nurturing virtual pets in a play-to-earn Tamagotchi-style game. The project has raised over $4.5M in its presale and aims to establish a gaming economy rooted in tangible value using the $PLAY token. Leveraging the global appeal of the Doge meme and the gaming industry valued at $22 billion, PlayDoge has substantial growth potential.
It is important to note that crypto is a high-risk asset class, and the information provided in this article is for informational purposes only and does not constitute investment advice. Investors could potentially lose all of their capital when investing in cryptocurrencies. Despite the overall negative market sentiment following the recent market crash, Dogecoin and other major cryptocurrencies may still have upside potential in the near term. The increased trading volume and retesting of key support levels suggest a possible rebound for Dogecoin, while traders seeking faster gains may explore new low-cap meme coins like PlayDoge for opportunities for significant growth.
