Dogecoin (DOGE) may not have returned to its high of $0.73 in 2021 yet, but it has risen more than 400% this year.

Currently, Dogecoin is selling for $0.404 each, having increased 5.6% in the past 24 hours. Some analysts say that Dogecoin is at a critical juncture now, and it could either surge or plummet in the coming days.

Dogecoin Faces a Major Test

Recently, Dogecoin has been rising sharply, and many analysts are keeping an eye on it. A cryptocurrency mogul named Ali recently posted an analysis on X, stating that Dogecoin is testing a key resistance level.

Ali said that if Dogecoin can stay firmly above $0.4, it could rise to $0.43. However, if it can't get past this hurdle, Dogecoin might have to drop back to $0.36, or even $0.34.

Good News Makes Dogecoin More Popular

In addition to price fluctuations, there have been some positive developments for Dogecoin recently, which have boosted investor confidence.

For example, there is a new U.S. government agency with an acronym that matches Dogecoin, called the Department of Government Efficiency (DOGE). Additionally, cryptocurrency fund issuer Valour has launched an exchange-traded product (ETP) for Dogecoin, the first Dogecoin ETP in the Nordics.

These significant events have made Dogecoin more popular among institutions and mainstream circles, and the price has risen accordingly.

There Are Analysts Who Predict Dogecoin Can Reach $20

Besides Ali's analysis, another analyst named Trader Tardigrade mentioned that Dogecoin's trend looks quite stable, predicting that Dogecoin may break out to a new high with a price reaching $20.

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