Despite Dip, Dogecoin Futures Spike 64% with Bullish Momentum Building

While the meme coin dropped 5.61% in a day to trade at $0.2240, it's 23% growth in the past week and a 40% rise this month is impressive. Dogecoin's (CRYPTO: DOGE) futures have received a massive spike in a week, putting DOGE back in the limelight.

Behind the growth is a mix of renewed trader interest, bullish technical indicators, and some high-profile endorsements that are making DOGE a popular investment choice.

Over the last week, Dogecoin’s futures open interest has grown by 64% from $989 million to $1.62 billion, according to Glassnode.

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The surge came as Bitcoin (CRYPTO: BTC) was pulling back. In a market where most altcoins typically trail behind Bitcoin, Dogecoin isn't following the trend. Glassnode referred to it as a “decoupling,” a rare and bullish indicator that DOGE is following its own narrative. Dogecoin has consistently been one of the top 10 altcoins.

Raoul Pal, a former Goldman Sachs Group Inc (NYSE:GS) executive and macro investor thinks Dogecoin might outpace Bitcoin in the next few months. For traders on the fence, such optimism from Pal is hard to ignore, and probably encouraged even more individuals to believe in DOGE's future.

But it’s not hype alone driving the rally. Technically, the 1-day chart shows a golden cross, indicating a transition from bearish to bullish territory.

As crypto analyst Trader Tardigrade breaks down, the recent golden cross between the 20-day and 50-day EMAs indicates DOGE is potentially positioning itself for another higher leg. The signal comes after months of an opposite signal, death cross, which drove the coin down last month.

According to the analyst, Dogecoin may be looking at a surge to $0.56 over the next few weeks. The macro chart suggests an ambitious belief that the coin may be nearing the peak of its third cycle, which could lead to DOGE's most explosive move. Tardigrade believes that the final price target can even be a jaw-dropping $20. 

For the time being, everyone’s waiting to see how long this momentum will last. With futures trading sky-high, bullish technicals, and growing hype from the analysts, Dogecoin is looking at a bright future. However, only time will tell whether the ambitious predictions for the coin will become a reality or not.

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