Dogecoin (DOGE) price is experiencing a significant decline, dropping over 5% in the past 24 hours despite a notable increase of nearly 80% in trading volume during the same timeframe. This downturn follows a particularly bearish summer for the asset, which has struggled to show signs of recovery.
Historically, DOGE has been known for its volatility, often influenced by high-profile endorsements from figures like Elon Musk and positive developments from the Dogecoin Foundation. However, aside from Musk’s occasional mentions, the dog-themed cryptocurrency has remained relatively quiet lately.
Crypto investor confidence in the market saw a temporary boost following a recent tweet from Elon Musk. The SpaceX CEO announced that the DOGE coin might be accepted for Tesla merchandise. Despite this, the price did not rise accordingly. If Tesla does integrate Dogecoin, we could see a significant price surge, though no timeline has been set for this development.
Will Dogecoin Make a Comeback Before 2024 Ends?
According to CoinMarketCap, Dogecoin is currently trading at $0.09288, reflecting a decline of nearly 6% in the past 24 hours. Over the last calendar year, the DOGE coin has experienced a significant price increase of over 50%, with much of this growth occurring towards the end of 2023 and into early 2024.
Since the crypto boom of March 2024, the DOGE Coin has experienced a significant standstill in its price movement, even though trading volume has remained consistently high. This stagnation is particularly interesting given the overall increase in total value (TV) across the cryptocurrency market.
Instead of benefiting from this rise, DOGE has seen rival coins like WIF and SHIB gain traction and flourish. These competitors have attracted investors with innovative features and community engagement, leaving DOGE to grapple with its identity.
In 2024, Shiba Inu (SHIB) has notably outperformed Dogecoin. Year-to-date, SHIB has provided significantly better returns, soaring nearly 30% since January. In contrast, DOGE’s profits have only reached 3.61%, meaning DOGE has generated just 10% of the profits that SHIB has achieved this year.
Moreover, approximately three years ago, it reached an all-time high of $0.7376, which was its closest attempt to hit the dollar mark. Currently, the DOGE meme coin is 87.35% below that peak. Given this data, reaching the $1 milestone appears nearly impossible. Despite a significant increase in trading volume, more catalysts are needed to drive DOGE back toward $0.20 and eventually $1.
According to our technical analysis and market trends, Dogecoin has the potential to reach a maximum price level of $0.223 by the end of 2024. On the other hand, if the meme coin space faces any bearish trend, the DOGE Coin may fall down to $0.189.
Also Read: Solana (SOL) Falls Below $130: Is Now the Time to Buy?
Disclaimer: The information in this article should not be considered anything as financial advice, and the OvenAdd platform is intended only to provide educational and general information. Please consult with a financial advisor before making any investment decisions.
