- Dogecoin dropped almost 25% compared to its annual peak of $ 0.4341 on January 18, recording eight red days in the last ten sessions.
- In January 2021, Dogecoin jumped 881% in 48 hours, from $ 0.00,750 to $ 0.0736 after a downward consolidation phase.
- Dogecoin market capitalization increased from $ 935 million in 2021 to 48.48 billion dollars today while analysts suggest a rapid increase.
The Dogecoin price has dropped since it reached an annual summit of $ 0.4341 on January 18. Over the past ten days, cryptocurrency has experienced eight days of lower negotiations, indicating a drop of almost 25% of its previous summit. This price movement has led to an increase in lowering feeling among traders.
According to market analysts, the current trend of Dogecoin price is similar to other experienced lowering trends before the room jumps again.
Although the recent trend shows that the market is in a downward trend, analysts always hope that it could bounce back as it has done in the past.
The 881% Dogecoin rally in 2021 compare comparisons
In particular, the Dogecoin price reached one of its highest levels in January 2021, where the price jumped 881% in just 48 hours. The asset went from an opening price of $ 0.00,750 on January 28 to a peak of $ 0.0736 the next day. This increase was after a period of price consolidation which is similar to the environment of the current market
At that time, Dogecoin was under constant sales pressure with lower peaks, then suddenly experienced a gathering.
The historical graphics that support this assertion indicate that the Dogecoin price has rebounded as soon as possible, even after long periods of lower trends.
The growth of market capitalization and its influence on prices movements
Dadecoin’s market capitalization has also increased since the 2021 rally. At the beginning of 2021, the market capitalization of Dogecoin was around $ 935 million, which means that an increase in demand has led to a significant increase in the price.
Currently, Dogecoin market capitalization is $ 48.48 billion, which raises the question of whether the cryptocurrency is capable of repeating the increase in percentage above within a short time.
Consequently, certain analysts have noted that a large market capitalization requires an increase in capital flows to cause drastic price fluctuations.
However, others believe that Dogecoin is capable of undergoing volatility because it has a large community and a history of price fluctuations.
Nevertheless, the Dogecoin price It remains capable of rapid fluctuations, as was the case after the US elections of 2024 when the price of the token jumped 159% in a week.
Opines of the analyst on the DOGE price movement
Furthermore, Crypto analyst Ali Martinez criticized the idea of short-circuiting Dogecoin given his history of aggressive price gains.
He pointed out that Dogecoin is very volatile and can increase in short periods, so it is difficult to say when it bursts.
Martinez said that looking at the performances of previous years of Dogecoin, the asset can occur in the same way as in the past. However, this is subject to Market conditions and liquidity among others.
Another analyst, Scofield, predicted that a price target of $ 3 for Dogecoin is possible but has not given a final delay.
He said Dogecoin has shown the ability to bounce back and can increase at any time, which is why traders are interested in her.
At the time of the press, the Dogecoin price is negotiated at $ 0.3291, down 1.64% in the last 24 hours. The price reached a summit of $ 0.3,345 before dropping to a low almost $ 0.315.
The negotiation volume dropped by 32.78% to $ 1.89 billion, reporting a reduced market activity. The resistance is close to $ 0.335 and the support is $ 0.315.
Non-liability clause
The opinions and opinions stated by the author, or any person appointed in this article, are reserved for information ideas, and they do not establish financial, investment or other advice. Investing or negotiating cryptographic assets presents a risk of financial loss.
