Dogecoin (DOGE) Price Enters Rebound Phase as Buy Orders Hit 850M

Insights:

• Dogecoin (DOGE) price retraced 13% to a weekly low of $0.090 on Wednesday, but the bulls fiercely defended the psychological support level
• On-chain data shows that retail demand for DOGE has now it 800 million DOGE, exceeding active sell orders by a large margin of 60 million. 
• Historical accumulation trends highlight the next resistance and potential support levels that could impact the impending DOGE price rebound phase. 

Dogecoin (DOGE) price retraced 13% this week after hitting a 2023 peak of $0.11 on Dec 5. However,  after a week of consolidation, on-chain data trends now show that the bullish retail traders have started mounting buy orders as DOGE revs up for an imminent price rebound. 

Can DOGE price finally cross the $0.15 resistance during the rebound phase? 

Retail Traders Have Placed Orders for 800 million DOGE This Week 

Dogecoin price dropped a weekly low of $0.09 on Wednesday, down 13% from its 2023 peak of $0.11 recorded on Dec 5.  But after enduring the double-digit pullback, on-chain data trends shows that the bulls are now revving up for a rebound.

IntoTheBlock’s Aggregate Exchange Order Books chart, is on-chain metric that vividly illustrates this optimistic Dogcoin price outlook.

The current readings from the trading logs of 10 prominent crypto exchanges including Binance, Kraken and Coinbase shows that the DOGE retail traders have listed active orders to purchase 800 million DOGE in the spot markets. 

Meanwhile, as depicted below, bullish the sellers have only put 639.5 million DOGE up for sale around the current prices.  

This implies that there is currently an excess demand for 61.5 million DOGE across major crypto exchanges and spot trading platforms. 

The Exchange Order Books chart depicts the price distribution of the total buy/sell orders for a specific cryptocurrency across various exchanges.  

Currently, Dogecoin market demand (buy orders) has outpaced supply (sell orders) by nearly. 

Logically, when the market demand for an asset exceeds supply, the relative scarcity puts upward pressure on the price. Many sellers may be inclined to raise DOGE prices in the days ahead as buyers compete to get their orders filled quicker. 

Hence, with Dogecoin attracting more demand, and much fewer holders looking sell, this is strong indication that DOGE price could rise in the days ahead. If this current market dynamic persists, it could drive Dogecoin price toward $0.15 area in the week ahead.    

DOGE Price Prediction: Road to $0.15? 

From an on-chain perspective, the rising volume of buy orders looks set to drive Dogecoin price into a rebound phase. However, for the bulls to validate this prediction, they must first clear the initial resistance at around $0.11. 

The Bollinger Band technical indicator also confirms this bullish prediction. It shows that DOGE price currently faces a challenge at the upper band around $0.105. 

However, a decisive breakout above that range could see Dogecoin price reclaim the $0.15 territory for the first time since November 2022.

On the downside, the bears could negate this positive DOGE price forecast if they they successfully force a downswing below the $0.06. 

However, as observed this week, the support buy-wall around the middle–band (SMA) at the $0.09 area will likely prove daunting in the short-term.