Dogecoin (DOGE) has remained in the spotlight lately amid the broader uncertainty in the market. With the recent trend, the memecoin is on track to record its first Golden Cross technical indicator in 4 years. This DOGE golden cross potential has reignited market interest in the coin with different projections on what is next for price.
Dogecoin Might Skyrocket If Golden Cross Emerges
The conversations around a possible golden cross formation came from an Analyst on X. The Analyst said Dogecoin has a few more weeks to complete the cross, which was last recorded onchain in 2021.
This rare pattern occurs when the short term moving average of an asset cross about the long term moving average. Whenever this setup surfaces, can can push DOGE as high as $1. Per the analyst, the last time this appears on Dogecoin charts – January 2021 – the coin’s price skyrocketed by 8,000%. This rally contributed to the jump in DOGE’s price to the previous high of $0.76.
It remains uncertain whether or not the the price of Dogecoin will follow similar patterns moving forward. This historical records calls for caution as the digital currency has closed the past 3 months in the red. Amid the need for caution among investors, Dogecoin has pared off its gains from earlier in the day.
As of writing, the coin’s price has dropped by 1.95% to $0.1043 with a market capitalization of $15,24 billion. It has conveniently traded around two close extremes featuring $0.1037 and $1072 respectively. Should the historical trends that accompanied the past Dogecoin golden cross trend re-emerge, it might push the price to $8.
Notably, it is worth keeping in mind that past trends cannot guarantee future outcomes.
Network Activity Hints Uptick Ahead
Many factors work together to fuel the growth of an asset like DOGE. According to a recent DOGE price analysis, the prospect of the coin jumping to $1.4 is becoming more feasible as network activity enters blowout mode. Overall, a total of 1.93 million transactions were processed in the past week.
This is a very positive sign of network health, one that might contribute to the growing sentiment surrounding the coin. DOGE price remain the subject of speculation that might also be impacted by Elon Musk and Taylor Swift spat.
The post Will Dogecoin Hit Its First Golden Cross in 4 Years? appeared first on CoinGape.
