The meme coin sector has seen significant growth recently, triggered by Bitcoin’s surge toward $90,000. It’s been an impressive week for cryptocurrencies, with the market leader reaching new highs, the latest peak occurring just hours ago. With Elon Musk’s recent interactions with the president-elect and his leadership role in the newly proposed Department of Government Efficiency (D.O.G.E), Dogecoin’s price is targeting $1 after a weekly increase of over 100%.
Dogecoin Attracts Intense Buying Pressure
Dogecoin (DOGE) has sustained its strong upward trend for a fourth day in a row, climbing 48% in the past 24 hours, which has reignited conversations about the possibility of the coin hitting a $1 price target.
DOGE surged past 41 cents early Tuesday, marking its highest level since May 2021, when it reached a peak of just over 70 cents. Over the past week, the cryptocurrency has delivered a return of more than 103% to investors and nearly tripled in value over the last 30 days, according to data.
Also read: Dogecoin Skyrockets 150% This Week to Reach $0.4—A New ATH Beyond $1 is Loading!
Coinglass data states thar DOGE experienced over $131 million in total liquidation. These liquidations were the most significant for the dog-themed cryptocurrency this year, with open interest approaching an all-time high set in April.
The current rally has been largely led by positive sentiment surrounding the influence by tech entrepreneur Elon Musk during the Trump administration.
In recent days, the whale activity for Dogecoin has also surged as the large transaction volume has been increasing for over the last 48 hours. IntoTheBlock data shows that the whale transaction volume surged from the low of $2.7 billion to a recent peak of $16.4 billion, creating a push in trading volume.
Interestingly, Coinmarketcap shows that the total market capitalization of memecoins has doubled in the past week, soaring $55 billion to $112.3 billion on November 12. This value is 25% greater than the previous high of $90 billion achieved during the bull run.
Year-to-date, the combined market value of cryptocurrencies in this category has increased by nearly 400%.
What’s Next for Dogecoin?
Dogecoin has experienced a significant upward trend in recent days, gaining momentum after breaking through the $0.25 resistance level. However, sellers strongly defended the $0.44 level, creating a strong rejection. As of writing, DOGE price trades at $0.39, increasing by over 1.6% in the last 24 hours.
The lengthy wick on the November 11 candlestick indicates that bears are attempting to halt the ascent at $0.44. If the buyers can maintain their position against the bears, the DOGE/USDT pair might continue its climb towards $0.4. Interestingly, buyers have successfully defended the $0.34 level, creating a strong rebound.
However, if the buyers struggle to push the price above $0.4, a correction could occur, potentially pulling the pair back down to $0.32, and possibly retesting the breakout level at $0.25. It will be crucial for buyers to defend this level to preserve the upward momentum.
