That Dogecoins The DOGE/USD rally has gained momentum, with the dog-themed cryptocurrency soaring on Saturday morning.
What happened: Doge began to turn around earlier this week along with stock markets. After convincingly breaking above $0.060 on Oct. 25, there was no turning back for the crypto. It’s up over 90% since Oct. 24.
At last check, Doge was trading 36.23% higher at $0.113791, according to Benzinga Pro data.
Still, the crypto is still a long way from its all-time high of $0.737567 hit on May 8, 2021 when highlighted by Tesla, Inc. TSLA CEO Elon Musk talk about the coin.
By the way, Doge peaked before the rest of his peers, including BitcoinBTC/USD hitting historic highs in early November. Doge ended 2021 at $0.171313 as risk aversion gripped the market amid worries about the economy and supply chain disruptions worsening as the tailwinds of the COVID-19 pandemic.
The new year brought no respite for financial assets as the Russia-Ukraine war exacerbated risk aversion. Doge bottomed at $0.050267 on June 14 and then traded in a range of $0.058 to $0.068.
Then, on Saturday, the crypto surged above $0.10 for the first time since May 11, 2022.
If the Dogen rally continues, the crypto could next target resistance around $0.1224, which turned out to be a support level earlier this year in April and January. Further ahead lies the next resistance zone around the $0.146 area.
Source: Yahoo Finance
See also: How to buy Dogecoin (DOGE)
Why it matters: The specter of aggressive Fed rate hikes has been one of the main reasons putting downward pressure on the riskiest bets, including cryptos. With the Fed raising rates three times by 75 basis points, word on the street is that the central bank could either pursue less aggressive rate hikes or start to turn around.
This, in turn, should boost economic growth. Last week, the Bureau of Economic Analysis released third-quarter GDP data that showed better-than-expected growth.