Although Dogecoin has experienced a 12.2% drop in the last 24 hours, investors’ interest has not diminished. As we reported at Kriptokoin.com, DOGE, which recently rose to 0.4346, reaching its highest value of the year, still has great potential. So, is it possible to reach the $1 target in November? We are looking for the answer to this question in technical analysis and market dynamics.
A Different Indicator: MVRV Z-Score
The sometimes overlooked MVRV Z-Score indicator stands out as a measure of Dogecoin’s true potential. It also measures the difference between market value and actual value, helping us understand whether the price is overbought or not. However, if the Z-Score rises above 5.38, it is an overbought signal . Currently, this value is only at 2.7.
This shows that DOGE still has the potential to rise. If the Z-Score shows an upward movement this month, Dogecoin’s $1 target will cease to be a dream. This indicator is an important guide for investors.
Technical Challenges Ahead for Dogecoin
When we look at the charts, we see that Dogecoin needs to overcome some resistance levels in order to continue its upward movement . Above the current price, the levels of 0.5 and 0.76 stand out as strong resistance points. These levels in particular are areas that have faced serious selling pressure in the past.
In order for Dogecoin to reach the $1 target, it must first overcome these resistances. If this success is achieved, not only exceeding $1, but even a rally to the 1.5 level is possible. However, investors need to be careful at these critical levels.
Power of Support and Possible Risks
For Dogecoin, the risk of a downside is as real as the upside . However, there is strong support just below the current price at 0.35. If the market experiences a pullback, this level will protect the price. However, in a larger downside scenario, the 0.2 level is likely to come into play.
If this level is broken, the current bull market expectations will be dashed. It is important for investors to be especially careful during this process and follow the support levels closely. The volatile nature of the crypto market causes us to encounter surprising movements at any moment.
Dogecoin’s Journey Continues
Dogecoin seems to be preparing for a new uptrend with its current price movements. The volatile nature of the market can offer opportunities for those who act carefully and strategically. Technical indicators and general market dynamics indicate that Dogecoin’s uptrend is not over yet. It may be just a matter of time before DOGE reaches the $1 target. However, it is of great importance for investors to be patient and conscious on this journey.
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