Although Dogecoin is still about 45% below its 2021 all-time high of $0.7316, the massive gains have been achieved. So far this year, the memecoin leader has achieved a staggering gain of more than 400%. Dogecoin is currently trading at $0.404, up 5.6% in the past 24 hours. Analysts highlight this as crucial and likely to influence its market movements in the coming days.
The recent surge has caught the attention of analysts. Well-known cryptocurrency analyst Ali discussed DOGE’s resistance in his analysis.
Using a descending channel on the price chart, Ali noted that Dogecoin is testing a key resistance level. He said that if it sustains above $0.40, it could push its price to $0.43. Failure to do so could cause the asset to fall again, with its value dropping to $0.36 or even $0.34.
Several positive developments have boosted Dogecoin and bolstered investor confidence, most notably the creation of the Department of American Government Efficiency (DOGE), which shares the same abbreviation as Dogecoin’s ticker symbol.
In addition, crypto fund issuer Valour launched a Dogecoin exchange-traded product (ETP). This is the first Dogecoin ETP in the Nordic region, expanding Valour's digital asset product range. This launch, coupled with its current market capitalization of approximately $59.5 billion, highlights the market influence of Dogecoin as the world's seventh largest digital asset.
Analyst Trader Tardigrade offered another view on Dogecoin’s potential trend. According to him, Dogecoin is showing a wave pattern in the macro chart. This pattern could eventually form an explosive top that could potentially push Dogecoin’s value to $20.
