Dogecoin has continued its impressive rally this year and may now be on track for a new record above $0.70
Yesterday Dogecoin was the top-performing cryptocurrency among the market’s top ten, rising more than $0.50. During that surge, Dogecoin even became the third-largest cryptocurrency by market capitalization, surpassing XRP and USDT.
With strong support near $0.60, Dogecoin could continue climbing in the coming hours and days and push toward a new all-time high. Analysts and crypto commentators, including Lil Mook, are optimistic that the current Dogecoin rally could eventually reach $1.
By the time @coinbase adds $Doge that bih might be $1 😅🐕 #dogecoin
— Lil Mook (@Lilmook4real) May 5, 2021
DOGE price outlook
The DOGE/USD 4-hour price chart is one of the most bullish among the top ten cryptocurrencies. It has been rallying for some time, and technical indicators suggest this upward momentum could continue.
DOGE/USD 4-hour price chart. Source: Coinalyze
If the current trend persists, DOGE could break the $0.71 resistance and set a new record. With sustained buying pressure, Dogecoin could then target the next major resistance around $0.90 and eventually aim for $1. Technical indicators indicate this scenario is plausible. DOGE’s MACD line sits in a strongly bullish zone, and an RSI of 82.52 shows the asset is overbought. The 100-day simple moving average for DOGE currently stands at $0.335, roughly half of its present trading price.
However, if bulls lose control, the DOGE/USD pair could slide below $0.60, where support at $0.52 would need defending. In the event of a deeper sell-off, Dogecoin should be able to defend its primary support near $0.40.
DOGE rallies amid new listings
Dogecoin has been rallying for several weeks, and recent exchange listings have acted as important catalysts for the current run. Gemini listed DOGE yesterday, giving traders access via a wide range of fiat currencies including USD, GBP, EUR, CAD, AUD, HKD and SGD.
Social trading platform eToro also announced DOGE listings on Monday, saying the decision was driven by strong demand from its users.