[Blockchain Today Reporter Han Ji-hye] Dogecoin (DOGE) has risen 33.2% over the past month, putting it on the radar of some analysts, Cointelegraph reported on the 20th (local time).
Cryptocurrency trader Tony 'The Bull' noted that the DOGE price has "risen to a 1-month parabolic SAR indicator," adding that this was followed by a 23,000% surge in the past.
According to reports, traders using technical analysis commonly use the parabolic SAR to pinpoint an asset's 'stop and reverse' signals, i.e., to determine the price levels at which the asset may stop in its current direction and begin a trend reversal.
Traders have been looking at DOGE’s Fibonacci levels as a guide to where the price could be heading in the medium term. The 0.618 Fibonacci level has been identified as a medium term target of $0.12 on the monthly timeframe, while the 1.618 Fibonacci level currently suggests $0.23 as the end point for DOGE’s swing trade.
Volume and open interest are other metrics that traders are paying attention to, with DOGE open interest soaring to a two-month high last week and volume hitting a six-month high.
A meme coin's parabolic curve is generally interpreted as a market top signal and a sign that investor euphoria has peaked.
hjh@blockchaintoday.co.kr
