Dogecoin Rallies 4-Month Highs, Bulls Take Above $0.3

Dogecoin, the meme coin, has recently surged to four-month highs, raising questions about its ability to sustain momentum and continue growing.

The growth of Dogecoin has been slower this year compared to other cryptocurrencies, but the meme coin recently experienced a surge, reaching its highest point in four months. The big question now is whether Dogecoin can maintain this momentum and continue to rise.

Originally starting as a meme token, Dogecoin has become an outlier in the world of cryptocurrencies. Despite a double-digit increase in price, it lagged behind other cryptocurrencies in late October and early November, as they recovered from a long bearish market.

After hitting a monthly low of $0.0565 in October, Dogecoin saw a 21% increase, followed by a 22% increase in November, resulting in two consecutive monthly gains for the first time since October 2022. The cryptocurrency has continued to rise, with a 9.1% increase in the past week, one of the best gains among top cryptocurrencies. This recent surge saw Dogecoin reach $0.08715, its highest level since April 2023.

Trading volume for Dogecoin on various exchanges has increased by 30.7% in the past 24 hours. According to data from IntoTheBlock's Order Books metrics, it appears that buyers currently have the upper hand in the market.

At the time of writing, buyers have placed buy orders of 901.7 million DOGE at an average price of $0.085112, while sellers have only put up 848.13 million DOGE for sale at an average price of $0.085137. This indicates a scarcity of sellers, which could continue to drive the price up.

Considering the recent surge in price and on-chain metrics, data suggests that Dogecoin may be on track for a sustained increase in price. Although it has bounced off a resistance level at $0.08715, it is currently trading at $0.08515. Despite being up 21% since the beginning of the year, it is still 13% down from December 3, 2022.