Analysis
September 3, 2024 5:30 PM
DOGS, a meme coin launched on the Telegram-associated TON blockchain, is showing signs of a potential rebound after experiencing a 32% drop in value. Since its launch on August 26, the token has been volatile, but recent market indicators suggest a shift in momentum.
Following the Token Generation Event (TGE), DOGS' price fell from $0.0017 to $0.0010 due to heavy selling pressure. However, the Money Flow Index (MFI), a key technical indicator of capital inflow, has been rising, indicating an easing of selling pressure and the return of buyers. This bullish divergence suggests that DOGS might be poised for a price increase.
Additionally, the derivatives market reflects optimism, with an increasing funding rate showing that buyers are paying sellers to maintain positions, signaling a broader bullish sentiment. This trend indicates that DOGS could be moving towards testing its overhead resistance level at $0.0012.
Analysis of the hourly chart reveals that DOGS may be entering a price discovery phase, with bulls defending the $0.0010 support level. Maintaining this support is crucial for a potential recovery. If DOGS holds its ground, a return to $0.0012 could be imminent. However, failure to sustain the $0.0010 support might lead to further declines.
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