The $1 milestone is back in focus, with two top alt coins reclaiming the elusive mark after years of price volatility.
However, Dogecoin [DOGE] lagged behind, failing to match the benchmark despite surging double-digits on a weekly basis. The speculative nature of the meme coin makes it more volatile than other tokens.
Still, as the largest meme coin, Dogecoin has proven its resilience, leading a “supercycle” during the last bull run and receiving repeated support from influential figures.
Now, with a 16% gain in the last 24 hours, outperforming the rest of the market, open interest is also rising, with prominent analysts speculating that DOGE could hit $0.60 next. Does this mean it will join the $1 club?
High-risk, high-reward appeal could delay $1
A week ago, DOGE entered a consolidation after reaching $0.40 in the post-election cycle, following a daily high of more than 25%.
A pullback is inevitable, with trading volume surging past 17 billion, indicating overheated market positions.
However, the pullback was short-lived, with DOGE rebounding 10% on a daily basis and currently trading at $0.46.
The rebound reflects the continued optimism among bulls, a key factor for memecoins that rely on community support during bearish phases.
Amid this momentum, market makers are now speculating whether a new rally will push DOGE closer to its all-time high of $0.73, with the $1 benchmark just around the corner.
While DOGE’s nearly 30% weekly surge has put it at the top of the memecoin rankings, achieving that goal may still be challenging.
Interestingly, spot traders have accumulated nearly $180 million worth of DOGE tokens over the past week, which is in line with its consolidation phase.
This suggests that savvy investors have taken advantage of the “dip” to buy DOGE at a discount, effectively preventing bears from challenging its upward momentum.
Bitcoin’s post-close pattern has further fueled optimism, with expectations for a massive DOGE rally by quarter-end and a possible parabolic move into 2025.
Open interest has reached a record $3.77 billion, with futures traders betting on further price increases.
Despite these bullish indicators, Dogecoin is at risk. Its RSI has entered overbought territory, increasing the chances of weak hands faltering and triggering a short-term correction.
Unlike alternative coins that are often held for the long term after a pullback, meme coins like DOGE are often favored for their “high risk, high reward” appeal.
This inherent volatility makes them vulnerable to sudden market changes, which poses the biggest challenge to DOGE’s $1 milestone.
How can DOGE overcome volatility and reach $1?
To reach $1 from its current market cap of $0.46, DOGE would need to increase by about 117.39%. Over the past 30 days, DOGE has surged by more than 200%, driven by both macroeconomic trends and micro factors.
While Elon Musk’s support may provide a temporary boost, sustained momentum will depend on large HODLers stepping in during turbulent times to offset market volatility caused by fast trader moves.
Over the past 30 days, whales have been gradually withdrawing DOGE from exchanges.
Notably, a more aggressive accumulation started 10 days ago, harvesting approximately 1.12 billion tokens, pushing DOGE above the psychological resistance of $0.40.
