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Dogecoin (DOGE) experienced a 1.64% increase in the last 24 hours, trading at $0.1714. This suggests a potential bottoming out for the meme coin, with emerging bullish signals indicating the end of its sell-off phase and a possible rally.

MACD Suggests Potential Dogecoin Recovery

TradingView data reveals that Dogecoin's Moving Average Convergence Divergence (MACD) indicator supports a bullish trend reversal. The MACD helps track trend changes, momentum, and potential buy/sell signals. Dogecoin's MACD line shows a flattening trend from late February to March, with a potential upward movement above the signal line. This could trigger a price rally. DOGE Price Chart. Source: TradingView/CoinMarketCap

This upward trajectory could propel DOGE towards $0.20, a level it held for approximately 11 days. While analysts predicted a retracement to higher levels upon price stabilization, a subsequent dip below this support level suggests a possible shift in momentum. At the time of writing, DOGE trades at $0.1715, however, trading volume has significantly decreased by 32.09% to $1.02 billion, indicating reduced investor activity.

Long-Term Potential: Could DOGE Reach $4?

Analyst caution remains due to a "death cross" formation on the DOGE price chart (the 23-day moving average crossing below the 200-day moving average), leading to a price drop from $0.24 to $0.16. Another death cross is anticipated.

Despite this, the bullish MACD signals suggest a potential long-term rally, with some analysts predicting a price as high as $4. Ali Martinez suggests this is possible if DOGE maintains a price between $0.16 and $0.19.

The coming days will be crucial in determining whether DOGE can sustain its current price action and embark on a projected rise. Read the original article on U.Today