- Dogecoin (DOGE) has hit resistance in a key demand area.
- The DOGE acquired in this key demand area was worth over $1 billion.
- Dogecoin has been trending without any significant changes in the past few days.
Dogecoin holders are closely watching the $0.17 resistance level, which could determine the next price movement.
Dogecoin Hitting Resistance in Key Demand Area
Dogecoin (DOGE) has been fluctuating between gains and losses over the past few weeks. For instance, on the 25th of May, Dogecoin experienced a 6.18% increase, raising its price from around $0.16 to approximately $0.17. However, this gain was short-lived, as the price fell by 4.50%, returning to the $0.16 range.
AMBCrypto found that there had been resistance forming around the $0.16 to $0.17 price regions, which are also key demand areas. Approximately 75,000 wallets acquired nearly 10 billion DOGE at these price points. At this price, DOGE is valued at around $1.7 billion. Therefore, breaking through this resistance could significantly impact the price trend.
As of the time of writing, DOGE was trading at around $0.17, showing an increase of over 3%. Additionally, the stochastic indicator has recently shown a crossover, suggesting potential upcoming price movements.
Total Number of Dogecoin Holders Stays Steady
The press time price level was a key demand area, but more traders are not very interested in acquiring Dogecoin at this price. Analysis shows that the total number of Dogecoin holders has remained flat over the past few days. There has also been minimal growth in the number of holders when we look further back.
According to Santiment, the total number of holders was 6.65 million as of this writing, a level that has been maintained since the 20th of May. The number of holders has remained within this threshold for several months.
The DOGE 30-day MVRV
Despite the lackluster price trend, the 30-day Market Value to Realized Value (MVRV) ratio for Dogecoin was positive. The MVRV ratio was approximately 6.2% as of this writing, remaining above the zero line since the 20th of May. So, traders who bought Dogecoin during this period were still at profit, with an average gain of over 6%.
Conclusion
Dogecoin’s price trend has been relatively stable, with key resistance levels forming around $0.16 to $0.17. The number of holders has remained steady, indicating a lack of new interest at the current price levels. However, the positive 30-day MVRV ratio suggests that those who have invested recently are still seeing gains. The upcoming price movements will likely depend on whether DOGE can break through its current resistance levels.
