Dogecoin: Key Demand Zone May Provide Crucial Support for Cryptocurrency
Dogecoin is encountering significant demand zones near its current trading levels, highlighting areas of substantial buying activity. The cryptocurrency has established a demand zone in the price range between $0.081 and $0.099. Within this range, approximately 11.36 billion DOGE were purchased by 1.14 million addresses. This concentration of buying activity indicates that many investors view this range as an attractive entry point, potentially providing a support level for DOGE.
This support is further reinforced by another demand zone between $0.07 and $0.081, where a large number of addresses hold a greater quantity of Dogecoin. In this range, 1.16 million addresses hold about 23.72 billion DOGE. The concentration of investments in this area underscores its importance as a key demand zone, reflecting strong investor interest and confidence at these price levels.
Identifying these demand zones is crucial as it reveals where the majority of trading activity and Dogecoin accumulation have occurred.
What’s Next for Dogecoin’s Price?
The broader cryptocurrency market has experienced volatility, with many digital assets facing downward pressure. Dogecoin has been no exception, reaching lows of $0.091 during a three-day price decline. As of the time of writing, Dogecoin’s price has dropped by 6.29% in the past 24 hours to $0.101, and it has decreased by 19% over the past week.
The key demand wall for Dogecoin, as highlighted by IntoTheBlock data, shows significant buying activity in the price range of $0.07 to $0.099. As the cryptocurrency market continues to navigate through the current uncertainty, this demand zone stands out as a critical area to watch.
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This concentration of holdings could act as a bulwark against further price declines, as a large number of investors may be unwilling to sell at a loss, thus reducing selling pressure. In the event of a price rebound, Dogecoin will face a major technical hurdle near $0.129, which coincides with its 200-day simple moving average.
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