As Bitcoin reclaims the $90,000 mark, the meme coins are gradually turning bullish. The meme coin market cap currently stands at $54.94 billion, with Dogecoin recovering nearly 5% within 24 hours.
Currently, Dogecoin trades at a crucial crossroads near the $0.20 psychological mark and holds a market cap of $30 billion. This highlights the meme coin’s more than 50% dominance in its segment.
Will this short-term recovery result in a new bull run in DOGE with broader market stability? Let’s find out.
Dogecoin Teases Morning Star Recovery To $0.30
In the daily price chart, DOGE currently trades within a falling wedge pattern. With the recent increased price fluctuation, Dogecoin breached the overhead resistance line.
However, the 20-day EMA line, acting as a dynamic resistance, led to a quick pullback. Currently, DOGE trades at a market price of $0.20, with an intraday recovery of nearly 2%.
This highlights a potential recovery in DOGE as it bounced off from a 24-hour low at $0.1826 on March 4. Currently, the Dogecoin price action hints at a morning sharp pattern near the local support trend line.
This hints at an increased chance of DOGE surpassing the 50% Fibonacci level. Furthermore, the merged MACD and signal lines highlight the uncertainty in momentum, while the broader market recovery hypes the chances of a wedge breakout rally.
Based on the Fibonacci levels, the breakout rally in Dogecoin will likely surpass the 61.8% Fibonacci level to reach the $0.33 resistance mark. On the flip side, the crucial support level remains at $0.17. The recovery rally will likely limit the chances of a death cross between the declining 50 and 200-day EMA lines.
Analyst Reveals New Record for Dogecoin
Supporting the chances of a bullish comeback, Ali Martinez highlights a bullish viewpoint on Doge’s network. As per the analyst, the total number of DOGE addresses has hit a new all-time high of 53.48 million.
With the rising number of addresses, the growing activity on the Dogecoin network will likely result in an increased demand for the meme coin. Hence, this rising trend signals the possibility of a new bullish rally in DOGE prices.
