Will Dogecoin (DOGE) be able to regain the title of king of memecoins in July
Date: 2023-07-05 Author: Karina Ziganova Categories: IN WORLD
After a 13% increase in just five days, the price of Dogecoin fell below $0.069 again. However, the readings of key on-chain metrics hint at the possibility of continuing the rally.
Let's figure out if DOGE will be able to regain the title of king of memecoins.
Long-term investors continue to believe in Dogecoin
Although Dogecoin's growth rate lagged noticeably behind other well-known PEPE and FLOKI memecoins in June, long-term DOGE holders are not going to exit their positions. According to the Mean Coin Age metrics of the Santiment platform, the average age of coins continues to increase. In the period from June 7 to July 3, the figure increased by 30% - from 43,107 to 55,876.
Mean Coin Age determines the level of trading sentiment among long-term investors by calculating the average number of days that circulating coins have spent at current addresses.
The growth of the indicator indicates that users are confident in the long-term prospects of DOGE.
DOGE traders are bullish
Although the price of Dogecoin failed to break above the $0.07 resistance level, traders are still bullish. The aggregate order books of the exchanges show that they placed orders for the purchase of 393 million and the sale of 244 million coins.
As you can see in the chart above, the dynamics between buy and sell orders are strongly tilted in favor of the bulls. At the moment, demand outstrips supply by 149 million DOGE.
Given the positive expectations of long-term holders, the bulls may make another breakthrough attempt in the near future.
Dogecoin could rise to $0.08
According to the market depth chart of the IntoTheBlock platform, DOGE is likely to rise to $0.08. However, on the way to this mark, the asset will have to overcome the initial resistance at $0.073, where traders put up 71.64 million coins for sale.
In case of loss of support at $0.06, Dogecoin will face a further fall. However, the wall of bids for the purchase of 51.73 million tokens, set by the bulls in the region of $0.065, can slow down or even prevent the decline.
