2 Top Reasons Dogecoin Price Will Rally Soon

Dogecoin (DOGE), the pioneering meme cryptocurrency, has garnered renewed attention from investors and enthusiasts alike. Despite a recent downturn where its value dipped below $0.13 and faced a 20% value decline within the past month, Dogecoin's price trajectory now exhibits an upward trend, with a 9% value increase over the past week, defying the current market pessimism. What factors are fueling this newfound optimism, and is DOGE poised for a substantial surge? Let's delve into the key reasons why Dogecoin could be on the cusp of a significant upswing.

Dogecoin Price Market Performance

DOGE's current price stands at $0.1564, marking a 4.74% decrease over the past day. While this trend aligns with the broader market, reflecting a 19.68% decline over the past month, the meme coin has experienced a 9.7% growth over the past week.

Boasting a market capitalization of $22.55 billion, Dogecoin ranks as the 8th largest cryptocurrency, according to CoinMarketCap. The token witnessed a 38.45% surge in its trading volume, reaching $1.68 billion over the past 24 hours. Despite reaching its all-time high of $0.7376 in May 2021, it has since depreciated by 78.94% in value.

Top Reasons Dogecoin Price May Rally Soon

Several factors contribute to the potential for a DOGE price rally in the near future:

1. Strong Support and Resilience:
   Crypto analyst Behdark provided insights indicating that Dogecoin has established strong support just above the $0.1 level. This support has acted as a protective barrier, preventing further price declines during market downturns. The resilience exhibited by Dogecoin at this level demonstrates the sustained demand for the cryptocurrency, bolstering investor confidence amidst market volatility.
2. Extended Correction Period:
   DOGE has endured a prolonged correction period spanning over 500 days, mirroring a previous correction that lasted for 900 days. Historically, such corrections have often preceded bullish rallies, suggesting that Dogecoin may be poised for a notable upward trend.