On January 10th, Friday, the Bitcoin market witnessed a bullish uptick as stronger-than-expected U.S. non-farm payroll data bolstered investors’ sentiment. With the memecoin sector highly sensitive to new market changes, the Dogecoin price shows potential for bottom formation at key Fibonacci supports. The onchain data recording whale accumulation hints at a higher rally in the near future.
Key Highlights:
- The cup and handle pattern formation could drive the current recovery trend in Dogecoin price.
- The memecoin price sustaining above 50% Fibonacci retracement level indicates the broader market trend is bullish.
- Crypto whales have purchased over 470 million Dogecoin (DOGE) in the last 48 hours, as reported by analyst Ali Martinez.
Whales Signal Confidence in Dogecoin with Massive 470M DOGE Buy
In a recent tweet, crypto analyst Ali Martinez highlighted that the crypto whales have purchased over 470 million Dogecoin (DOGE) in the last 48 hours, according to data shared by crypto analyst Ali Martinez. This large-scale accumulation highlights growing interest and confidence in the popular memecoin amidst market volatility.
Such whale activity is often interpreted as a bullish signal, as large investors strategically position themselves for anticipated price increases.
Currently, the Dogecoin price trades at $0.32 with a market cap of $49.06 Billion and the 24-trading volume wavers at $3.22 Billion.
Dogecoin Price Nears Key Fibonacci Levels for Support
For over a month, the Dogecoin price witnessed a significant correction from $0.48 to $0.33, registering a 30% loss. With a fresh formation of lower highs in the daily chart, the meme coin experienced a sell-the-bounce sentiment among investors, a behavior commonly spotted in established downtrends.
With sustained selling, the coin price could seek support at the 50% and 61% FIB levels, coinciding with $0.28 and $0.238, respectively. The daily chart shows the current pullback assist in the formation of a classic reversal pattern called Cup and Handle.
It consists of two parts: a “cup,” which resembles a rounded bottom or U-shape, and a “handle,” which forms a small consolidation or pullback on the right side of the cup.
If the pattern holds true, the Dogecoin price could bounce for a $0.486 neckline breakout in the near term. The post-breakout really could drive an extended rally to the $0.91 level.
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