Dogecoin (DOGE) has signaled a bullish reversal after a technical indicator turned green. As spotted by CryptoQuant analyst CW, a “Heikin Ashi green candle” has emerged for DOGE at the $0.095 price level after prolonged red candles on the chart.
Historical patterns suggest DOGE could rally toward $0.15
For clarity, Heikin Ashi is a type of price chart that investors and traders use to understand trends better and filter out market noise. The emergence of a green candle generally signals that the price is on an upward trajectory.
CW highlighted that the trend has reversed after touching the bottom. This suggests that Dogecoin’s price is likely to continue on its current uptick as the Heikin Ashi has shifted from red to green. DOGE could likely continue on its bounce from previous lows to hit new peaks.
The Heikin Ashi has historically signaled Dogecoin’s rallies. For instance, in 2021, when a similar bounce occurred, DOGE recorded a 10x gain from the $0.05 support level. Hence, if history repeats itself, the meme coin could soar to $0.15 or higher, depending on market forces.
As of this writing, Dogecoin is exchanging hands at $0.1009, which represents a 0.3% increase in the last 24 hours. The meme coin soared from a daily low of $0.09946 to hit a peak of $0.1042 previously before it settled at the current rate.
Whale accumulation and trading volume boost Dogecoin’s outlook
Dogecoin’s trading volume has climbed by 13.72% to $2.03 billion as the ecosystem witnesses significant whale accumulation. The development signals increased confidence on the part of these investors in the meme coin’s outlook.
With Dogecoin already clearing the $0.10 barrier, the meme coin has tried to maintain relative stability above the price level. The current trend reversal might further support its upward movement if the crypto market maintains the uptrend.
Additionally, a lot also depends on sustaining the interest of investors in the meme coin sector. The concentrated buying being witnessed could support a rally to $0.15, but an increased price might trigger profit-taking among short-term traders.
Source: https://u.today/dogecoin-flashes-rare-trend-reversal-signal-doge-price-to-015
