Dogecoin is back in the spotlight as traders ramp up their positions, pushing its price to a monthly high on July 20. While the excitement is palpable, some experts are urging caution.
Crypto trader Shelby shared on X that “DOGE is breaking out and looks primed for an aggressive up move.” Shelby also pointed out that Dogecoin’s price surges have historically set the stage for rallies in other altcoins like Floki (FLOKI) and Shiba Inu (SHIBUSD), which have jumped 37% and 3.89% respectively, according to CoinMarketCap.
Other prominent traders, such as Cheds and CryptoBoss, noted the strong “base break” in Dogecoin’s price, suggesting that more gains could be on the horizon. Currently, Dogecoin is trading at $0.1336, up 18.82% over the past week. However, not everyone is ready to celebrate. Trader Magnate advised followers to avoid the fear of missing out (FOMO), suggesting that a potential pullback to $0.1194— a level seen just a week ago— could liquidate around $47.23 million in long positions.
In terms of Open Interest (OI)—the total value of outstanding futures contracts—Dogecoin has seen a significant spike. According to CoinGlass data, Dogecoin’s OI has surged 19% to $647.19 million in just four days.
Market Sentiment Turns Greedy
The broader market sentiment is also showing signs of bullishness. The Crypto Fear and Greed Index, which measures investor sentiment towards Bitcoin and other cryptocurrencies, has moved into “Greed” territory with a score of 74. This is a substantial leap from last week’s “Extreme Fear” score of 33.
