Dogecoin (DOGE) Might Skyrocket If Golden Cross Emerges, Hints Network Activity
The conversations around a possible golden cross formation came from an Analyst on Twitter. The Analyst said Dogecoin has a few more weeks to complete the cross.
Dogecoin (CRYPTO: DOGE) has remained in the spotlight recently as the broader market continues to navigate uncertainty. However, a key technical indicator is emerging that could have significant implications for the memecoin's price.
According to an analyst highlighted by X, Dogecoin is a few weeks away from completing a Golden Cross technical indicator, which was last seen on the DOGE chain in 2021. This rare pattern occurs when an asset's shorter-term moving average crosses above its longer-term moving average, and it could indicate a bullish trend for DOGE.
The analyst noted that if the Golden Cross emerges, it could propel Dogecoin to $1. The last time this pattern appeared on the DOGE chart, in January 2021, the coin's price soared by 8,000%. This rally contributed to DOGE's price hike to its previous peak of $0.76.
It's important to note that past price trends may not necessarily guarantee future outcomes, and investors should exercise caution, especially considering that Dogecoin has closed the past three months in the red.
As of writing, Dogecoin's price has declined by 1.95% to $0.1043, with a market capitalization of $15.24 billion. It has been oscillating conveniently within a narrow range, with $0.1037 and $0.1072 serving as two close extremes.
If historical trends that accompanied the past Dogecoin Golden Cross were to resurface, it could drive the coin's price to $8.
Network Activity Hints at Uptick AheadMany factors collectively fuel the growth of an asset like DOGE. According to a recent DOGE price analysis, as the coin's network activity enters blowout mode, the prospect of the coin rallying to $1.4 becomes more feasible.
In total, 1.93 million transactions were processed on the network within the past week. This is a very positive sign of network health, which could contribute to the growing sentiment surrounding the coin.
Dogecoin's price is also likely to remain a subject of speculation, especially with Elon Musk and Taylor Swift's spat potentially impacting the coin's narrative.
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