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Key Takeaways:
- DOGE is up 32% in the past week, leading the meme coin market despite long-term holders selling.
- Glassnode’s Liveliness metric indicates profit-taking activity, but short-term buyers are keeping the rally alive.
- Technical indicators remain bullish, with DOGE’s Aroon Up at 100% and price action forming an ascending channel.
Dogecoin (DOGE), the largest meme coin by market cap, has outpaced its competitors with a 32% rally over the past seven days. Now trading around $0.2743, the asset is showing renewed bullish strength, even as on-chain signals hint at long-term holders offloading positions.
DOGE Price Rallies While Liveliness Metric Ticks Up
According to data from Glassnode, Dogecoin’s Liveliness metric has risen to 0.706 as of July 20—an increase of 0.14% over the past week. This metric, which reflects the activity of long-held coins, indicates that dormant wallets are moving funds, likely to sell and secure profits.
Liveliness tends to spike when long-term holders (LTHs) reduce their exposure, which can imply a weakening of fundamental support. However, the market reaction has been contrary, with DOGE climbing steadily—suggesting short-term traders are now the primary force behind the rally.
Bullish Momentum Confirmed by Aroon Up Indicator
DOGE’s technical setup supports the current bullish narrative. The Aroon Up indicator, used to gauge trend strength and timing of recent highs, is reading 100%. This shows DOGE is setting fresh highs consistently, reinforcing strong upward momentum.
This indicator level aligns with DOGE’s recent return to its February price zone, highlighting the coin’s technical resilience even in the face of profit-taking from long-term investors.
DOGE Trades in Ascending Channel With $0.33 in Sight
Dogecoin has entered a bullish ascending parallel channel on the daily chart—an indication of sustained upward momentum. As long as the coin remains within this pattern, analysts expect further gains. A break above $0.28 could open the door for a retest of the $0.33 resistance level.
Also Read: Dogecoin Surges 52% in Q3 as $10B Flows In — Will DOGE Break $0.26 or Crash from Here?
However, caution remains warranted. If bullish volume fades, DOGE could retrace to the lower boundary of the channel around $0.23.
Dogecoin’s next move depends on whether buy-side pressure can push it past $0.28 and toward the coveted $0.33 level—or whether exhaustion sets in and prompts a cooldown.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
