Dogecoin is one of the most popular cryptocurrencies on the market. He is behind the creation of an entire subcategory of cryptocurrencies called meme coins. One of the biggest advantages of Dogecoin is that it seems to be one of the favorite cryptocurrencies of Elon Musk, the richest man in the world.
Also, it’s no wonder that Dogecoin saw a meteoric rise in value some time after. the widely publicized acquisition of Twitter by Elon Musk. Nevertheless, the result of his recent performances is not only thanks to the billionaire. Many analysts are predicting good days for this same corner.
The increase in the price of Dogecoin
As of the end of October 2022, Dogecoin, which remains the largest meme coin still in operation, pleasantly surprised crypto investors. Indeed, his community organized an impressive rally which allowed him to reach a high of $0.158. Also, the price of DOGE soared more than 185% from the levels it had been trading at throughout the summer.
Following an analysis of data from the IntoTheBlock platform, crypto trading expert Ali Martinez announced on November 2 that more than 350,000 addresses have purchased nearly 64 billion DOGE at an average price of $0.092. This action allowed the cryptocurrency to develop a stable and solid base of support for its token.
To be more precise, the results of the various investigations revealed that 340,500 addresses bought 63.72 billion DOGE at the minimum price of $0.069076 and at the maximum price of $0.126317. Thus, the crypto-currency portfolios concerned by this sale bought on average for $5.86 billion worth of Dogecoin on various trading platforms.
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The explanations for this sudden increase
Several hypotheses took place to justify the sudden rise in the price of Dogecoin. However, the majority of analysts seem to agree that it is largely linked to recent actions you CEO of Tesla and SpaceX: Elon Musk.
Dogecoin being one of the businessman’s favorite crypto-currencies, his value often fluctuates depending on the decisions he makes. Thus, most experts believe that the increase in the price of DOGE is linked to the enthusiasm generated by the takeover of Twitter by Elon Musk.
The various analyzes show, for example, that an address containing approximately two million Dogecoins worth more than $300,000 came back to life after more than eight years of inactivity.
What will be the future of Dogecoin?
Different statistics performed in terms of prediction show very favorable results for the same corner. Indeed, according to the analytics company Santiment, many social indicators suggest that Dogecoin is not done growing. The cryptocurrency still has room for more growth.
Its analysts claim that the current level reached by the cryptocurrency is not comparable to the peak it reached last May 2021. Many are the investors who have chosen toand take their profits after the value of the cryptocurrency peaked at $0.1589. This action caused the cryptocurrency to fall below $0.122 on November 2.
However, community members took advantage of the drop in value to redeem DOGE tokens. This has allowed the cryptocurrency to regain a constant value of $0.13 at the time of writing.
Such a figure represents growth of 1.28% on the day, as well as a huge 77.57% increase during the previous week. On a monthly basis, Dogecoin recorded growth at three digits of 119.67% and thus becomes the biggest monthly gainer among all cryptocurrencies.
For many crypto experts, once the token rises above the $0.1589 barrier, it could see its value continue to rise. On the other hand, if the DOGE token started to fall below the level where it is currently located, it could try to stabilize in the range of $0.11 to $0.12.
Below this range, the cryptocurrency will still be able to maintain formidable support around $0.092 : the price at which nearly 64 billion Dogecoin were purchased lately.
The pair SHIB/DOGE could grow further in the coming months, in particular thanks to this important pump du Dogecoin if the market turns out to be favourable.