In December 2024, major investors in Dogecoin—whales—continued to accumulate the token, buying over 570 million DOGE, worth $188 million, indicating sustained bullish market sentiment.
Despite the overall market being cautious, Dogecoin's historical returns and whale bets have filled investors with confidence in its future.
Whales are making large purchases, and market sentiment is bullish.
Large investors holding 100 million to 1 billion DOGE purchased another 300 million DOGE in a single day, worth $94 million.
Not long ago, another group of whales also purchased 270 million DOGE. Such a large-scale acquisition indicates that whales are confident in Dogecoin's future upward potential, which may lay the foundation for long-term gains.
The historical return in January has been mixed, but it still has bullish potential.
Based on historical data, Dogecoin's average return in January is 83.9%, but not every year shows strong growth.
Over the past decade, Dogecoin's performance in January has been a mix of ups and downs, with only 5 months achieving positive returns and an average loss of 3.86%.
However, January 2025 may be a turning point, especially with Dogecoin closing above the key support area of $0.315 in December 2024, which is the highest level since the 2021 bull market.
2025: Opportunities and challenges for Dogecoin
Although Dogecoin's historical performance in January has been mixed, January 2025 could become an important breakthrough point, with a rise of over 700% in December setting a positive tone for future goals.
Currently, Dogecoin is priced at approximately $0.3186, with a recent slight increase of 0.44%, further strengthening bullish sentiment. However, the risk of a pullback cannot be ignored despite the optimistic mood.
Elon Musk's influence and the future of Dogecoin
Elon Musk continues to support Dogecoin, and his words and actions remain an important driving force for the currency.
For example, Musk proposed the idea of a 'Dogecoin Government Efficiency Department' and claimed that this department could save the U.S. $2 trillion in spending.
This proposal, although controversial, has also drawn significant attention back to Dogecoin. Meanwhile, Musk's company Tesla accepts Dogecoin as a payment method and holds a large amount of Bitcoin, further promoting the development of the DOGE ecosystem.