Dogecoin (DOGE), the much-talked-about meme cryptocurrency, witnessed an exceptional rise of over 65% in its price over one week. Currently, it is valued around $0.1414 with an impressive market capitalization exceeding $20 billion. Still, some market indicators suggest a looming price correction.
According to the World of Charts, leading cryptocurrency market analyst, Dogecoin’s value has a possibility of growing by more than 135%. If proven accurate, this projection puts DOGE’s next target at $0.265. This view is backed up by a comprehensive glance at the cryptocurrency’s metrics provided by Hyblock Capital, which showed a potential breakthrough if the currency can cross the $0.143 resistance level.
However, a closer look at several pivotal data points implies a not-so-rosy picture. Despite the dramatic price surge, selected indicators still point towards a bearish sentiment. For instance, the Weighted Sentiment of DOGE has decreased, implying a rise in negative sentiment surrounding the currency. Similarly, the Open Interest has declined recently, signaling another potentially bearish trend.
Furthermore, Dogecoin’s price has recently hit the Bollinger bands’ top limit, and its Relative Strength Index (RSI) is in the overbought zone. These conditions imply an imminent increase in selling pressure, which could halt the ongoing bull run. Nevertheless, the cryptocurrency market is highly unpredictable by nature, and only time will tell whether Dogecicon will reach the predicted $0.265 mark or face a downward correction.