Dogecoin is currently a hot topic in the cryptocurrency world, especially with the new Department of Government Effectiveness, abbreviated DOGE, leading the charge. Bitcoin’s recent price surge, reaching an impressive $90,000, has further fueled Dogecoin’s momentum, positioning it for another significant price rally.
Cryptocurrency expert Ali has highlighted Dogecoin’s historical price rises, noting that the token soared 9,720% in 2017 before stabilizing. In 2021, Dogecoin saw a staggering 30,700% increase. Ali explained that these increases were the result of several retests and declines that helped the token reach such impressive heights.
Source: Ali Martinez
“In 2017, #Dogecoin surged 9,470%, with two major corrections along the way: one to 40% and another to 84%. In 2021, $DOGE soared 30,700%, again experiencing two key pullbacks of 46% and 53%,” Martinez said.
Dogecoin’s Impressive 240% Monthly Gain
Despite some fluctuations, Dogecoin continues its upward trend, currently sitting at $0.39, up 8% in the last 24 hours. Ali urged investors to remain patient and not worry about occasional dips, emphasizing that patience and conviction are crucial for those aiming to become “real #DogecoinMillionaires.”
Dogecoin has seen a 240% increase over the past 30 days, pushing its market cap to $60 billion. These gains have attracted the attention of retail investors and analysts, making DOGE a leading contender among the best cryptocurrencies to buy right now. Technically, Dogecoin has surpassed its 20-day EMA at $0.215 and its 50-day EMA at $0.166, strengthening its uptrend.
The market-to-realized value ratio (MVRV) for Dogecoin is currently 2.7, indicating an upward trend despite approaching an overvaluation zone. The weekly chart features a cup-and-handle pattern, generally signaling a bullish reversal, with some forecasts suggesting a potential target of $1, a 163% increase from the current price.
Increased network activity and investor interest
Dogecoin’s Relative Strength Index rose above 80, placing it in overbought territory. Analysts warn investors to remain vigilant due to the token’s volatility, which can result in large gains during bull markets but substantial losses during bear markets. The main resistance points lie at $0.5 and $0.76, while the support levels are at $0.35 and $0.2.
Increased network activity supports Dogecoin’s growth, with IntoTheBlock Reports over 6 million transactions processed in the last week. Additionally, Santiment data shows an increase in the number of wallet addresses containing less than 100,000 DOGE, indicating growing interest from small investors.
Influential crypto voices suggest that Dogecoin may still have room to grow. Crypto Kaleo has note that Dogecoin appears to be the start of another major momentum move, following a rally pattern around 200 days after each Bitcoin halving. This trend, combined with recent political developments, supports the potential for significant gains.
Source: Crypto Kaléo
Political developments are also favoring the rise of Dogecoin. The recent election victory of Donald Trump and the appointment of Elon Musk to head the Department of Government Effectiveness have added symbolic momentum. The appointment of Musk, known for his public support of Dogecoin, further energized the memecoin community.
With its current momentum, many investors are eyeing the $1 mark as a potential price target for Dogecoin. The combination of strong community support, favorable market conditions, and significant investments from major players positions Dogecoin as one of the leading competitors in the cryptocurrency market.