Dogecoin experienced a significant price jump heading into the weekend, aligning with a broader market rally following the Federal Reserve's recent comments.
Market Reaction to Powell's Statement
On Friday, Dogecoin climbed from $0.208 to $0.242, reflecting a sharp intraday rise that mirrored movements across major digital assets and equity markets. This occurred after Federal Reserve Chair Jerome Powell's remarks at the Jackson Hole symposium, where he acknowledged a possible need to shift the current monetary stance.
Trading Volume and Market Capitalization Increase
Dogecoin's trading activity intensified, with its 24-hour volume rising by 165% to $5.42 billion. This surge in interest pushed Dogecoin back into the eighth position among cryptocurrencies by market capitalization, now standing at $35.52 billion. The sharp uptick in volume and price reflects renewed enthusiasm among traders positioning for further volatility.
Analysts' Forecasts for Dogecoin
According to market analysts, Dogecoin is consolidating within a technical triangle pattern, which could result in a 40% upward breakout. The asset has now clearly moved above its 50-day simple moving average of $0.218. Analysts suggest that turning this level into a support base could open the door for Dogecoin to target $0.26 and $0.29 in the near term. If bullish momentum continues, the coin could attempt to reach higher resistance levels around $0.4 and $0.48.
The overall situation in the cryptocurrency market shows strong investor interest in risk assets, including Dogecoin. Future changes in monetary policy may have a significant impact on the price movements ahead.
