The price of DOGEUSD is testing near-term resistance after a bounce from the June lows.
The resistance ahead of $0.1800 has a 17% move to the next $0.2065 with the May highs further away at 47%.
DOGE is creeping higher after a downtrend from the May high after speculative interest grew for Bitcoin. There may be a possibility for a profit-taking move in BTC that increases flows in altcoins now.
There was some early hope this week with data showing a 112% jump in whale investor activity in DOGE. Open interest from large investors is holding above $2 billion for the first time since June, up 21% from the start of the month, according to Coinglass data.
Derivative traders were increasingly active, with a positive funding rate at 0.21% showing demand for long positions.
Traders are still praying for an Elon Musk-driven boost and his announcement of a new political party helped the price of DOGE this week. However, the billionaire said the story was untrue.
Dogecoin is currently the number nine coin by market cap with a valuation of $25 billion, which is close to Tron’s $27 billion. Current daily trading volume is just under a billion dollars, but a far cry from the $4 billion of BTC, which doesn’t count futures and ETF trading.
Altcoins need a real driver to see any real change in price but there have been little advancements in recent years after the initial explosion of the tech around 2021. A big run of speculative money in BTC is also a risk with the BlackRock iShares Bitcoin Trust (IBIT) now holding 700,000 bitcoin, according to Glassnode. That puts it at $76 billion in value in 18 months, ahead of the company’s trackers for the S&P 500 and Russell 2000 benchmarks.
That drive into BTC is taking away money from the likes of DOGE, which means that altcoins have an incentive to find an imminent breakthrough that can boost flows.
