Dogecoin Surges 8.32%, While DOGE Enters “Greed” Zone

A recently published tweet shows that the Fear and Greed Index for the prominent meme cryptocurrency Dogecoin has entered the “Greed” zone.

Still, the original meme cryptocurrency price remains up and even demonstrated a substantial increase within the past 24 hours.

Dogecoin ventures into “Greed”

The above-mentioned index was invented for estimating market sentiment for cryptocurrency assets. When in the “greed” zone it means that the asset is close to entering a correction. In “extreme fear”, a bounce back down is expected to happen.

In the case of “fear” investors starting to accumulate cryptocurrencies. However, according to the @DogecoinFear account on the X social media site, DOGE has been in the “greed” zone for several days by now. Today, it shows 67, the reading was taken roughly an hour ago.

Dogecoin Fear and Greed Index is 67 ~ Greed pic.twitter.com/ZM03DlN6pe

— Doge Fear and Greed Index (@DogecoinFear) December 14, 2023

On December 10, “extreme greed” changed for just “greed”, shifting from 78 to 74. According to data from CFGI.io, Bitcoin, Ethereum, XRP’s indexes also show “Greed” at the moment.

A few days ago, popular crypto analyst Ali Martinez shared his Dogecoin analysis with his Twitter followers. He said that TD Sequential showed a sell signal on the weekly Dogecoin graph. This sell signal was flagged as DOGE pumped into a major resistance level – the same resistance has many times prevented Dogecoin’s increase in the past.

Martinez also mentioned a possible correction for DOGE and should it happen, he explained, the price could drop to $0.085 or even $0.078. Still, if Dogecoin manages to surpass the $0.11 level, the bearish scenario would be annihilated.

Dogecoin, Bitcoin rise fueled by Federal Reserve

The recent price increase of 8.32% has taken Dogecoin from $0.0901 to the $0.0982 level, where DOGE is changing hands as of this writing.

Bitcoin, Ethereum, Dogecoin and other leading cryptocurrencies have surged overnight in the wake of news spread by the Federal Reserve about potential interest rate cuts they are considering for next year.

Dogecoin co-founder Billy Markus shared his thoughts on when Bitcoin will rise again. Markus semi-jokingly stated that Bitcoin was “having a mood” and it needs to be given space to come out eventually from there.

Markus is rather sceptical about cryptocurrency trading and reasons why price fluctuations happen, thinking that nobody really knows why they occur.

Source