Dogecoin (DOGE) is starting the new year with growth momentum after breaking above a short-term symmetrical triangle, X user Trader Tardigrade noted in a recent post.
Having just reached above $0.33, Dogecoin's price is facing resistance in the form of the 21-day moving average (DMA) at $0.34. In the range of $0.34 to $0.38, there are several stronger short-term resistance levels in the form of lows from mid-December and the 50DMA.
However, according to analysis from user BALO, Dogecoin seems to have also escaped the short-term downtrend, with bullish risks increasing.
BALO is very confident that the 'solid' support level at $0.26 is the local bottom for Dogecoin and that prices will 'only increase' above $0.34.
The prediction of 'only increasing' above $0.34 may be a bit early, as the mentioned resistance levels in the range of $0.34 to $0.38 also need to be broken.
However, as the inauguration of U.S. President Trump on January 20 approaches, the likelihood of a price surge is increasing.
Dogecoin Price – Will It Rise to $1?
When Trump takes office on January 20, a new era begins for Dogecoin. This is not necessarily due to the upcoming 180-degree shift towards pro-cryptocurrency regulatory policies in the U.S.
Yes, that is also good for Dogecoin as it is very beneficial for the prospects of the Bitcoin and altcoin market, increasing the chances of a new meme coin season emerging.
Instead, Dogecoin investors will focus more on the new federal agency being established called the Department of Government Effectiveness (DOGE).
The agency led by Elon Musk is expected to have a significant impact on Capitol Hill and is almost certain to dominate news headlines by 2025.
This ensures that Dogecoin, the currency this company uses as its mascot, will maintain a significant market share in the 'minds' of the meme cryptocurrency market.
If Bitcoin and the altcoin market surge in 2025 as many predict, then Dogecoin will certainly perform well.
The return of a new alt/meme season suggests that the price of Dogecoin is very likely to test the 2021 record high of $0.70.
A price surge up to $1 is also very likely to happen. Think about this – a price of $1 would mean Dogecoin's market cap would be around $144 billion.
It is certainly not impossible as the market cap of meme coins in general reached $120 billion by the end of 2024, and Bitcoin could reach a market cap of $3 trillion or more by 2025.
Dogecoin investors should start thinking bigger. Instead of just hoping for a 3x increase from the current level, a 10x increase to over $3 could be within reach.
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