Here’s how high Dogecoin can reach if DOGE repeats its 2021 rally

Dogecoin (DOGE) could reach a new all-time high if it replicates 2021’s performance which saw it rise 18,340% in five months.

Dogecoin has recently attracted the attention of the broader crypto market after its tremendous rise above the $0.4 mark. Specifically, the price of DOGE soared 156% in one week, from around $0.17 to $0.4359 between November 6 and 12.

This massive rise has boosted investor confidence in DOGE, as they speculate that the asset could repeat its 2021 rally in this bull run.

Dogecoin price if it repeats the 2021 rally

As a reminder, Dogecoin has stunned investors in 2021, rising from a modest $0.0040 to an all-time high (ATH) of $0.7376 on May 8. This represents a staggering 18,340% increase in the first five months of 2021.

Amid Dogecoin’s recent rally, many investors are wondering how much DOGE would be worth if it replicated its 2021 performance this cycle. Achieving a similar growth rate of 18,340% before the end of this cycle would see the price of DOGE reach an all-time high.

If Dogecoin is able to rise similarly to 2021 and repeat a potential 18,340% upside from the current level, it will take its price to $69.03, marking a new ATH record for DOGE. This would positively impact Dogecoin’s market capitalization, bringing it to $10.12 trillion from the current $54.88 billion, potentially making DOGE the most valuable cryptocurrency in the world.

Priced at $69.03, a portfolio of 14,486.5 DOGE, currently worth around $5,424, would be valued at $1 million.

Key factors to consider

While it remains uncertain whether Dogecoin will experience an 18,340% surge like it did in 2021, it is important to note that three major factors contributed to DOGE’s stunning rally three years ago.

Elon Musk effect

At the top of the list is the Elon Musk effect. Musk played a significant role in Dogecoin’s rise in 2021. His endorsement of the token on X paved the way for an 18,340% rally.

Interestingly, Musk still has the ability to drive the price of Dogecoin higher, as seen last week when DOGE surged 156% due to his continued mention of DOGE (Department of Government Efficiency) on X. It is worth mentioning that the US President-elect Donald Trump recently appointed Musk to head new federal agency.

Massive Retail Interest

Elon Musk’s endorsement of Dogecoin in 2021 sparked interest from retail investors, leading to an 18,340% rally. As Musk continues to mention DOGE agency over X, most retail investors would likely see this as an opportunity to acquire DOGE, potentially positioning the asset for a repeat of its 2021 rally.

Bull market

Another factor that contributed to Dogecoin’s 18,340% rise in 2021 was the timing of the rise, which coincided with the 2021 bull market.

At the time, several cryptocurrencies, including Ethereum (ETH) and Cardano (ADA), were reaching new ATHs. Notably, DOGE also benefited from the bull market, leading to its surge towards an ATH. Currently, the market is in the second phase of the uptrend, which is expected to last until next year.