The price of Dogecoin has dipped by 2% in the past 24 hours, with its slide to $0.2599 also marking a bigger 21% decline in a week.
The past month has been particularly harsh to the meme token, which is also sitting on a 32% drop in the last 30 days, as trade tensions continue to weigh down markets.
Yet a number of factors – including Neptune Digital’s purchase of 1 million DOGE – suggest that the token could make a comeback soon.
Its indicators show that the coin has entered oversold territory, and with the wider market likely to recover in the coming weeks, DOGE will almost certainly join for the ride.
Can Dogecoin Rally Soon? Big Money Flows In, and a Bullish Reversal Might Be Next
As the four-hour chart below show, DOGE has been trading within a declining band over the past week or so, dragging down its indicators in the process.
Yet its relative strength index (purple) is beginning to show signs of recovery after sinking all the way to 20 at the start of the week, a sign that buyers are starting to return to the token.
Source: TradingView
DOGE’s 30-period average (orange) has touched a bottom in relation to the longer term 200-period average (blue), which again is a sign that its recent declines are about to end.
While trading volume still remains fairly low today at $1.5 billion, there are signs of growing accumulation.
As mentioned above, Canadian firm Neptune Digital Assets has added to its stash of the meme token with a purchase of 1 million DOGE, in addition to buying 20 BTC.
We’ve also witnessed considerable whale activity in the past week or so, starting with a purchase of 175.2 million DOGE on Binance on January 27, and followed by the transfer of 800 million DOGE from one unknown wallet to another at the start of the month.
This underlines the sense that DOGE may be something of a sleeping giant at the moment, with the coin arguably still deserving of its place as the biggest meme token in the market.
While it hasn’t done much fundamentally in recent weeks or months, it continues to hold onto the remote possibility of some kind of X integration in the future.
Based on the overall trajectory of the market, Dogecoin could return to $0.330 by the end of the month, before hitting $0.50 by H2.
New Meme Tokens with Stronger Fundamentals
For those growing tired of Dogecoin, it may be time to look for the next big thing in meme coins.
Of course, finding the next viral meme token is often risky and unpredictable, but a new project aims to minimize some of that uncertainty.
That’s where Meme Index (MEMEX) comes in – a new Ethereum-based platform that will offer decentralized indexes tracking various meme coins.
Launched in December, its presale has already raised an impressive $3.3 million, as investors come to realize significant benefits its platform offers.
At launch, Meme Index will enable MEMEX holders to invest in one of four decentralized meme token indexes, each catering to different levels of risk.
For example, Titan Index tracks coins with caps of at least $1 billion, which will include well-established tokens like Dogecoin, Shiba Inu and Pepe, as well as newer upstarts such as Official Trump (TRUMP).
The other indexes at launch will include MidCap, Moonshot, and Frenzy, with Frenzy focusing on newest and most volatile tokens.
By diversifying investments across multiple meme coins, these indexes help traders manage risk while increasing their profit potential over time.
With meme coins dominating 2024’s crypto landscape, Meme Index could attract thousands of investors who want exposure to the market without excessive risk.
Additionally, MEMEX holders can stake their tokens to earn a passive income, while also participating in governance, voting on new coin inclusions as well as new indexes.
Those interested in the presale can visit Meme Index’s official website, where MEMEX is currently priced at $0.0159077.
This price will increase soon and continue rising throughout the presale, so you should act sooner rather than later if you want the biggest possible returns.
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