Dogecoin (DOGE) is currently on a rally, with a combination of technical and fundamental bullish momentum. On the technical side, DOGE traded inside a bullish symmetrical triangle, while on the fundamental end, the community is excited about the launch of a DOGE ETF.
Since yesterday, Dogecoin has been on an exponential rise, as it rose above the weekly opening market price of $0.2176. The memecoin is up by more than 10% during the past week, with a market cap of $36 billion.
On the 4hour chart, Dogecoin was trading inside a symmetrical triangle, which, when it breaks out, usually turns into a bullish rally. A symmetrical triangle forms when price makes lower highs and higher lows, squeezing into a narrowing range. Inside the pattern, buyers and sellers are locked in a standoff—bulls step in earlier on dips while bears sell sooner on rallies—causing volume to shrink and tension to build.
Although the market is overbought according to the RSI indicator, DOGE will retrace and thereafter keep moving upwards until it reaches $0.27. The hypothesis behind this comes from the assumption that when the symmetrical triangle breaks out, the token usually appreciates by the height of the widest part of the wedge.
Hopes of DOGE ETF launch invigorates bullish momentum
Switching the attention from the technical side to the fundamental front, we could see that bullish momentum is building as there is hope of a DOGE ETF approval. Last week, there was news that broke that REX Shares — the firm behind the first Solana staking ETF — in partnership with Osprey Funds, filed for the REX-Osprey DOGE ETF, and could potentially launch as early as this week.
Senior ETF analyst, Eric Balchunas stated, “Looks like Rex is going to launch a Doge ETF via the 40 Act.”
