Dogecoin (DOGE) is once again making headlines with its impressive rally. Currently trading at $0.41, the meme-inspired cryptocurrency has surged more than 170% in the past month. After briefly passage $0.40, DOGE saw a slight decline but it continues to show bullish signs.
As analysts predict further growth, the question remains: Can Dogecoin reach and maintain the psychological level of $1?
Prominent analysts believe that Dogecoin’s upward trend is far from over. Alan Santana, a respected market observer, notes that DOGE is experiencing its first significant bull month since the 2021 bull run. He points out that the token recently emerged from a three-year consolidation phase, which could pave the way for substantial gains.
Santana predicts occasional corrections but emphasizes that the recovery is only just beginning.
Kevin Capital, another analyst, echoed similar optimism on social media, stating that DOGE could sustain its rally if it maintains key price levels and favorable RSI (Relative Strength Index) conditions. He also highlights that DOGE needs to overcome resistance at $0.43 and $0.49 before approaching the $1 mark.
What happens if DOGE hits $1?
Reaching $1 would be a significant psychological barrier for Dogecoin. However, maintaining this level depends on several factors, including:
- FOMO (Fear of missing out): Continued hype in the market could fuel buying pressure.
- Whale activity: Large-scale purchases by influential holders can drive up prices.
- The influence of Elon Musk: The billionaire’s posts often spark DOGE rallies.
- Bitcoin performance: A stable BTC uptrend supports broader market sentiment.
If these factors align, DOGE could climb even higher. However, a failure in any of these areas could result in a dip below $1, erasing recent gains.
Investors are advised to exercise caution as Dogecoin’s reliance on hype and speculation makes it a volatile asset. Even though $1 is in sight, the journey beyond remains uncertain.
Also read: Ripple’s XRP Becomes Third-Largest Crypto Asset By Market Cap