TL;DR
- 93% of Dogecoin (DOGE) investors are currently in profit, reflecting strong market sentiment and potential for a rally.
- DOGE has been steadily rising, trading at approximately $0.34, with key resistance at $0.38 and support at $0.30.
- High profitability may lead to sell-offs, but DOGE’s robust on-chain metrics suggest potential for growth and a new rally in 2025.
Dogecoin (DOGE) investors are currently enjoying a remarkable period of profitability, with 93% of them making money, according to recent on-chain data. This impressive level of profitability reflects strong market sentiment and suggests that a rally may be on the horizon for the popular cryptocurrency.
Steady Rise in DOGE Price
Dogecoin has been steadily rising since recovering from the $0.30 support level. As of now, DOGE is trading at approximately $0.34, inching closer to the critical resistance level of $0.38. The recent bullish momentum has been a driving force behind this upward trend. While DOGE is trading above important moving averages such as the 200 EMA, it is still struggling to hold above the 50 EMA, which is crucial for validating bullish trends.
Several factors contribute to the high profitability of DOGE holders. Many investors purchased the asset during its previous consolidations and bull runs, allowing them to profit significantly during price increases.
Even in the face of slight downturns, most addresses are still seeing profits, as illustrated by the historical break-even price chart. This resilience highlights the extensive adoption of Dogecoin and the relatively stable backing from its community.
Potential for a New Rally
A move above the $0.38 resistance could trigger a new upward trend for DOGE’s price action. The high level of profitability may also lead to sell-offs, as short-term traders may lock in dividends. Investors should closely monitor the $0.30 support level, which continues to serve as DOGE’s safety net in the event of any downturns.
Dogecoin’s enormous profitability creates favorable conditions for potential growth, but prudence is advised. Given the asset’s recent performance and robust on-chain metrics, DOGE may soon attempt to exit its current consolidation phase.
If successful, this could open the door for another rally in 2025. Investors who want to navigate the market successfully should keep an eye on important resistance and support levels.
