- Dogecoin started 2025 strong but fell 20%, now negotiating $ 0.2561.
- Elon Musk’s blockchain plans could have an impact on Doge, but real adoption is uncertain.
- DOGE could fall to $ 0,2203 soon unless it exceeds $ 0.30 for the bullish momentum.
The cryptography market entered 2025 with high expectations. Same corners, directed by Mastiff (Doge), were supposed to rally. The excitement comes from the growing influence of Elon Musk in American government affairs. Many thought that its policies would promote blockchain innovation, potentially stimulating Doge.
But things took a different turn. Instead of skyrocketing, pieces of memes have struggled. Dogecoin, despite its strong position, failed to break out. The formerly shy token found itself to fight against the lowering forces.
In 2024, Dogecoin experienced a massive gain of 200%. Investors have applauded by climbing above. It even started 2025 with force, affecting $ 0.43. But the rally did not last. A rapid drop of almost 20% pushed Doge to a minimum of $ 0.2117. At the time of writing this document, it is negotiated at $ 0.2561, reflecting a decrease of 3.32% in 24 hours.
The volume and market capitalization parameters also show weakness. Doge’s market capitalization, which once exceeded $ 50 billion, now oscillates about $ 36.7 billion. The daily negotiation volume amounts to $ 1.95 billion, a sharp decline compared to the summits last month of $ 3.4 billion. These signs indicate a slowdown in investor confidence.
Elon Musk remains a central figure in the Dogecoin fate. His recent thrust for transactions from the American Treasury based on the blockchain sparked a debate. Could Doge play a role? The Dogecoin community buzzes with speculation. If Musk integrates DOGE in government infrastructure, the price of the token could increase.
Historical models suggest that Musk approvals have a direct impact. When he renamed Twitter to X in 2023 and alluded to Dogecoin payments, the price of the token jumped 30% in days. However, such rallies often fade if no real application follows.
Where is Dogecoin?
Current indicators suggest new drops. According to Coincocex, Dogecoin could drop to $ 0.2203 by February 20, 2025. The relative resistance index (RSI) is 42, signaling neutral conditions. The displaced averages also point down, Doge is struggling to recover its EMA of 50 days of $ 0.289.
The chain data reveals mixed signals. The activity of the whales remains stable, with large wallets that were still held. Addresses with more than 10 million Doges represent 56% of the offer. However, new user growth has slowed down, indicating a reduction in retail interest. The number of daily transactions on the network fell 12% in the last month, a sign of decreasing enthusiasm.
For a turnaround, Doge needs catalysts. The most obvious would be the direct approval of Musk or the integration of public services. In addition, a wider crypto market rally, especially led by Bitcoin, could drag parts of higher memes.
Technically, if Doge exceeds $ 0.30, it could remember $ 0.35. A step stronger beyond $ 0.40 would confirm the bullish momentum. But non-compliance with $ 0.22 could see it Reaster $ 0.20 or less.
For the moment, Dogecoin holders remain in waiting mode. The same corner always has a sentimental value, but its price action requires a serious increase.