Analyst sets this condition for Dogecoin price to rally over 30%
As Dogecoin (DOGE) price confirmed a renewed uptrend after rallying over 33% last week, Ali Martinez, a popular crypto market analyst, believes this dog-themed memecoin could rally more than 30% amid its bullish flag formation.
Martinez stated that Dogecoin price could rally towards $0.115, if it breaks above its bullish flag, a technical chart pattern that signals the continuation of an existing upward trend, in its 1 hour timeframe, according to an X post on August 28. With DOGE price hovering around $0.866 on Friday, this analyst expects a 32.79% upside in the near future, if the upper border of this bullish flag is broken.
DOGE’s 1 hour chart. Source: TradingView
Martinez previously had pointed out that Dogecoin price has established a strong support level around $0.081. This support level was backed by 30 billion DOGE traded near $0.081 as per Glassnode’s UTXO Realized Price Distribution (URPD), an on-chain metric that shows the amount of a crypto that last moved within specific price ranges hence revealing where investors acquired their coins.
Ultimately, Martinez expects Dogecoin price to experience its next major sell pressure at approximately $0.177, based on the URPD.
Why Dogecoin price could rally further soon
A bullish sentiment for Dogecoin price in the near term is bolstered by its predominantly positive Funding Rate, a fee set to balance the perpetual contract price to the underlying asset price. Specifically, the DOGE Funding Rates have remained positive since July 24 to date, based on metrics from CoinGlass.
Dogecoin’s Funding Rates. Source: CoinGlass
Historically a positive Funding Rate has been associated with bullish sentiment and vice versa. As of press time, this memecoin had a reported Open Interest (OI), a measure of all open derivatives positions at a given time, of $1.36 billion.
With the established bullish momentum, amid predominantly bullish derivative traders, Martinez’s target could be reached soon.
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