This week, a number of cryptocurrencies experienced remarkable gains, with several standing out as the top altcoin performers. Their performance far exceeded the erratic trends noted in the previous week.
The leading performers included Dogecoin (DOGE), Worldcoin (WLD), and Ethena (ENA). In this report, BeInCrypto explores the underlying reasons for the significant movements of these altcoins and evaluates whether their upward trends are set to persist.
Dogecoin (DOGE)
Dogecoin topped the list of altcoin gainers, showcasing the largest price increase of 31.60% this week. A major factor driving this rally was the activity of crypto whales. Throughout the week, these large investors purchased substantial amounts of DOGE, generating considerable buying pressure that elevated the coin’s value.
Tesla CEO Elon Musk also significantly influenced Dogecoin’s rise. During the week, Musk, a prominent supporter of Donald Trump’s presidential campaign, mentioned the idea of establishing a Department of Government Efficiency (D.O.G.E) should Trump take office.
This acronym closely aligns with Dogecoin’s ticker, and given Musk’s longstanding support for the cryptocurrency, this inevitably caused a sharp increase in its price. DOGE even reached $0.14, marking its highest point since July.
From a technical perspective, Dogecoin’s surge was propelled by a breakout from a descending triangle pattern, which occurs when a falling trendline intersects with horizontal support. Instead of dipping as expected, DOGE broke above this pattern, sparking its upward trajectory.
Read more: Best Crypto Exchanges With the Lowest Trading Fees
Moreover, the formation of a “golden cross,” which occurs when the 20-day Exponential Moving Average (EMA) crosses above a longer-term moving average, further fueled the price increase.
Should the current bullish trend persist, Dogecoin’s price could rise to $0.17 in the near term. In an extraordinarily bullish scenario, DOGE might even hit $0.20.
On the flip side, if long-term holders opt to secure their profits, this optimistic forecast could be negated, resulting in a potential price drop to $0.12.
Worldcoin (WLD)
Worldcoin ranks second among the top-performing altcoins, posting a 27.30% gain this week due to growing investor interest. The spike in Worldcoin’s price can largely be attributed to its rebranding to “World” and the introduction of a Layer-2 solution named “World Chain.”
As of now, Worldcoin trades at $2.50, though it remains 79% below its all-time high. The recent price surge followed strong support at $2.10, where buyers sustained the level, demonstrating confidence in the asset. Additionally, an increase in the Relative Strength Index (RSI) indicates mounting bullish momentum, promoting the upward trend.
Should buying momentum persist, Worldcoin could encounter resistance at the $2.95 level. If it breaks through this barrier, the altcoin could potentially soar to $4.94. Conversely, if it fails to surpass this resistance, it may face a retracement to below $2.
Ethena (ENA)
Ethena has made a name for itself as one of the top altcoin gainers this week, largely thanks to the launch of its synthetic-dollar protocol, USDe, on the Solana blockchain. This advancement has propelled ENA’s price up by 24.30%, now standing at $0.41.
On the daily chart, the Moving Average Convergence Divergence (MACD) indicator has turned favorable, signaling bullish momentum. A positive MACD suggests that the price may continue to rise. If this upward momentum continues, ENA could potentially reach $0.70 in the near term.
Read more: 11 Cryptos To Add To Your Portfolio Before Altcoin Season
However, traders should remain vigilant of the $0.50 resistance level; failing to breach this threshold could jeopardize the bullish forecast. In such an event, the altcoin might see its price retreat below $0.35.
Disclaimer
According to the Trust Project guidelines, this price analysis article serves informational purposes only and should not be considered as financial or investment advice. BeInCrypto strives for accurate, unbiased reporting, but market conditions can change rapidly. Always do your own research and consult with a professional before making any financial moves. Please also be aware that our Terms and Conditions, Privacy Policy, and Disclaimers have recently been updated.
