Dogecoin hits $0.10: will retail demand push it higher?
Dogecoin (DOGE) is up 4.5% at press time on Monday, extending its recovery to hit the $0.1000 psychological level.
The rally comes amid growing speculation surrounding Dogecoin, resulting in increased trader participation in the derivatives market.
Technical indicators for Dogecoin remain bullish, with derivatives data supporting the current outlook.
Retail interest in Dogecoin resurfaces
DOGE is up 4.5% in the last 24 hours and now trades at $0.1006 per coin.
The positive performance comes as the cryptocurrency market has shown steady recovery in recent days.
Bitcoin rallied to $74,000 on Monday, while Ether is trading above $2,200 despite the ongoing US-Iran war.
Dogecoin’s rally to hit $0.1000 for the first time in two weeks reaffirms that selling pressure is briefly weakening.
Still, the global financial and crypto markets stand on shaky ground amid escalating conflict in the Middle East.
Retail interest in Dogecoin has been increasing over the past few days.
The DOGE futures Open Interest (OI) has been broadly flat since the October 10 liquidation event.
However, recent CoinGlass data shows that the OI has been increasing. The OI now reads $1.25 billion, up from the $1.05 billion recorded on Sunday.
Meanwhile, the positive funding rate of 0.0077% on Monday reaffirms traders' short-term bullish interest.
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Technical outlook: Dogecoin eyes further gains
The DOGE/USD daily chart remains bearish and efficient as Dogecoin broke above the $0.09700 resistance level over the weekend.
It broke above the 200 Exponential Moving Average (EMA) at $0.09773 on the same chart, hitting the $0.1000 mark for the first time since March 4.
The upswing in the 50- and 100-period EMA on the 4-hour chart suggests an improvement in the upside momentum, with further upward movement expected in the near term.
The momentum indicators currently support the bullish outlook.
The Moving Average Convergence Divergence (MACD) rises above its signal line as positive histograms expand, indicating a positive momentum.
The Relative Strength Index (RSI) at 56 shows firm positive momentum without yet entering overbought territory, reinforcing a bullish bias on the daily time frame.
If the recovery is to continue, DOGE would need to take out the March high and target the 4-hour swing highs at $0.10603 and $0.11029 from February 25 and February 2, respectively.
It has already surpassed the resistance trendline close to $0.09850 and the previous swing high at $0.10036 over the weekend.
On the downside, the immediate support for DOGE emerges at the 100-period EMA at $0.09397.
Failure to defend this support level could see DOGE retest the $0.09330 zone.
If the bearish trend persists, it could test Wednesday's low at $0.09127.
Currently, the market conditions remain bullish as the crypto market shrugs off the effects of the ongoing Middle East crisis.
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