Dogecoin Price Prediction: $DOGE Hits $0.27 Resistance Amid ETF Hype

Dogecoin (DOGE) has rallied by 8% in the past 24 hours as investors continue to pile into the token ahead of the launch of its first exchange-traded fund (ETF).

Trading volumes have increased by 10% and currently account for a tenth of the circulating supply.

Eric Balchunas Official X Account – Source: X.com

Originally planned to hit the trading floor yesterday, Bloomberg’s ETF expert Eric Balchunas confirmed that the REX-Osprey DOGE ETF ($DOJE) will be launched next week but did not provide a specific date.

Company officials from REX-Osprey, the asset management firm behind the ETF, did not make any comments about the delay so this should be just a minor hiccup.

Market Conditions Favor a Strong Start for Altcoin Season

Market participants seem to be quite excited for the launch. DOGE has been going up in 4 of the past 5 trading sessions ahead of what would be the first meme coin ETF to be launched in the United States.

The launch of this ETF takes place at a point when market conditions have improved significantly while everything indicates that altcoin season has already started.

FedWatch Target Rate Survey – Source: CME Group

Analysts surveyed by FedWatch believe that the Federal Reserve will cut interest rates by 25 basis points twice – once next week and then during the October FOMC meeting.

Lower rates favor a higher valuation for risky assets as investors rotate their capital to riskier instruments that offer a higher yield.

Meanwhile, the Altcoin Season Index compiled by CoinMarketCap just hit 67 – a 90-day record and is just 8 points away from reaching 75 as the combined market value of altcoins has reached $1.7 trillion. Once it hits 75, altcoin season will be officially inaugurated.

Bullish Breakout Favors Move to $0.48

In our latest Dogecoin price prediction we emphasized that the Relative Strength Index (RSI) has just sent a buy signal after a brief period of consolidation. That was just 3 days ago and the token has already delivered a 13% gain.

The $0.27 price zone has been a key area where selling pressure has been strong in the past for DOGE. Hence, a bullish breakout above this level could set off a strong rally.

DOGE/USD Price Chart (Daily) – Source: TradingView

Today the token is already ripping through that level and buying pressure seems strong enough to finally push it above. This has occurred after a brief period of accumulation at the 200-day exponential moving average (EMA).

It seems that whales were scooping up DOGE for a while at around $0.21250 and the market is now ready to make a move to higher ground. The ‘smart money’ knew that something was coming, now the market will follow its lead.

The RSI is now near overbought territory but the rally is far from overheated. In fact, this would confirm a breakout as we are coming out of an extended period of consolidation. We could expect a strong move to $0.35 first, a retest of the $0.27 resistance from above, and then the continuation of the rally to higher ground.

Other altcoin-linked vehicles launched by REX-Osprey have already attracted some strong interest like the Solana + Staking ETF (SSK). This vehicle has brought in more than $250 million in assets already and has proved that both retail and institutional interest in cryptos in the regulated markets exists.

If we get a definitive breakout above $0.30, that could set in motion a much stronger rally toward $0.48.