The meme-inspired cryptocurrency Dogecoin (DOGE) has capitalized on the current market surge, surpassing significant resistance levels as it aims for the coveted $1 milestone.
Following Dogecoin’s recent price surge, the meme coin is rapidly approaching XRP in terms of market capitalization. At present, the difference in market cap between the two cryptocurrencies is nearly $4 billion, with XRP at $32.98 billion and DOGE at $29.98 billion.
Forecasting Dogecoin’s Price
It’s important to highlight that Dogecoin is presently trading above the critical $0.20 threshold, establishing it as a pivotal support zone. Consequently, the coin’s ability to maintain its price above this level could potentially lead to reaching the $0.30 mark. Notably, Dogecoin has shown promise for a surge, having doubled in value in 2024 alone.
On the daily chart, Dogecoin has encountered significant resistance at $0.22. Should DOGE successfully surpass this barrier, it could sustain its upward trajectory towards the psychological level of $0.30. Such a price position might result in the coin’s market capitalization exceeding the $30 billion milestone.
In this context, crypto analyst Rekt Capital suggested that Dogecoin is presently undergoing a retesting phase at the $0.20 level on the monthly timeframe. He highlighted a recent downward wick observed on the monthly chart, indicating a retest of the bull flag pattern on the weekly timeframe.
Despite price fluctuations, the expert maintained that Dogecoin seems to be adhering to its established plan, as evidenced by its adherence to technical patterns and key support levels.
Comparison of Dogecoin and XRP Fundamentals
Additionally, several other factors are poised to influence Dogecoin’s price movement, including its increasing adoption as a payment method and the robust initiatives driven by its community. Furthermore, continued backing from influential figures like Tesla CEO Elon Musk is anticipated to have a significant impact on the token’s trajectory.
In comparison, Dogecoin’s past performance suggests its potential to rally alongside market momentum, particularly as XRP has predominantly remained below the $0.70 level amid the ongoing surge. The market’s response to the upcoming Bitcoin halving will be crucial, given its historically bullish effect.
However, critics argue that Dogecoin’s valuation is primarily speculative and driven by hype, lacking the fundamental utility and technological advancement seen in other cryptocurrencies such as XRP. Additionally, concerns persist regarding the sustainability of Dogecoin’s price surge in the long term, with critics warning of increased volatility.