- Dogecoins Futures Open Interest has risen to a new all-time high.
- Key indicators on a daily chart pointed to further growth in the altcoin’s price.
Dogecoins [DOGE] Futures Open Interest has risen above $2 billion to a new all-time high, according to figures Mint glass facts. At the time of writing, the memecoin’s Futures Open Interest totaled $2.21 billion, up more than 100% since early March.
Source: Coinglass
When an asset’s open interest increases in this way, it means that the number of open positions in that asset has increased. This indicates an increase in market activity as more traders open new positions or maintain existing positions.
It also indicates an influx of more liquidity into the asset’s derivatives market.
AMBCrypto found that since the start of the general market rally in October 2023, DOGE funding rates on cryptocurrency exchanges have been positive.
This has remained the case despite the price drop between March 15 and 20 due to the general market retreat during that period.
When an asset records a rise in its Futures Open Interest and positive financing rates, it is a bullish signal. This indicates that future market participants have continued to open trading positions in favor of a price rally.
DOGE wants to expand its profits
At the time of writing, DOGE was trading at $0.21. Per CoinMarketCaps According to data, the value of the memecoin has increased by 30% in the past week. AMBCrypto’s assessment of its price movements on a 1-day chart revealed that the memecoin was about to extend its seven-day rally.
For example, measurements of the Moving Average Convergence/Divergence (MACD) indicator showed that the coin’s MACD line crossed above the signal line on March 26. This is a bullish signal and traders often interpret it as a sign to take long positions.
Furthermore, DOGE price growth over the past week has been supported by demand for the altcoin.
The key momentum indicators were above their respective neutral lines at the time of writing, indicating that traders preferred to accumulate the meme coin rather than sell their holdings for profits.
The values of DOGE’s Relative Strength Index (RSI) and Money Flow Index (MFI) were 66.98 and 86.77.
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Finally, the price of the coin rested above the parabolic SAR indicator. Traders use this indicator to make informed decisions about entering or exiting positions in the market.
When the price of an asset is above the dotted lines of this indicator, it indicates that bullish momentum is strong and any rally in the price is likely to continue.
Source: DOGE/USDT on TradingView