Securing the top position on the list of assets experiencing the highest daily increase with a remarkable 23% surge, Dogecoin [DOGE] has achieved numerous significant milestones during this bullish phase. Recently, DOGE surpassed Ripple [XRP] to claim the 6th position in the cryptocurrency market in terms of market capitalization.
Amid the excitement following the elections and the movement of funds from Bitcoin to alternative assets, Dogecoin has emerged as the biggest gainer with an impressive weekly increase of over 80%, demonstrating its resilience against its competitors.
Furthermore, endorsements from a prominent individual entering the political domain have contributed to the growing momentum around DOGE. However, the query persists: Will these factors be adequate to trigger an exponential surge that propels Dogecoin beyond the $1 mark?
If THIS Trend Unfolds, Dogecoin Might Reach $1 Soon
Based on historical data, Dogecoin typically performs well post-election cycles, often witnessing significant surges approximately a year later. Should this trend persist, Dogecoin could be on track to reach the $1 milestone by the early months of the upcoming year.
This trend is part of a common investment strategy where more affordable alternatives like Dogecoin, which is currently priced at $0.2882, tend to attract more capital compared to higher-value assets like Bitcoin, offering a more accessible entry point for investors.
Typically, this transition occurs as the post-election fervor subsides and economic pressures such as high-interest rates, inflation, and joblessness resurface, prompting investors to move away from Bitcoin. In such scenarios, many investors diversify their portfolios into alternative cryptocurrencies, and Dogecoin has successfully leveraged this trend.
Hence, it wouldn’t be overly optimistic to anticipate a repetition of this pattern, where economic uncertainties or a weakening dollar could once again position Dogecoin for a bullish run in the next year.
Ripple’s Loss Indicates DOGE Is More Than Just a Joke Coin
Interestingly, recent reports have outlined a positive outlook for Ripple, with on-chain data indicating strong upward potential, as evidenced by its 14% weekly gain.
Despite this positive trend, XRP still lagged behind Dogecoin, which successfully surpassed Ripple to secure the 6th position in terms of market capitalization.
This shift underscores Dogecoin’s increasing influence, even in the presence of Ripple’s growth potential, positioning DOGE as more than simply a meme-based coin but as a gradually emerging, credible asset class.
This marks a significant development for the Dogecoin community. As its reputation transforms from a highly volatile token to one with tangible utility, it significantly enhances its likelihood of reaching the coveted $1 mark in the near future.
Big Investors Are Cementing This Trend
Over the past three months, large investors have significantly accumulated Dogecoin, with holdings approaching the one-billion mark, primarily driven by post-election excitement.
For Dogecoin to achieve the $1 milestone, it is essential for holders to maintain confidence in its long-term prospects. The aforementioned factors might be adequate to dissuade stakeholders from selling their holdings, thereby allowing the true value of Dogecoin to shine through.
Overall, given historical trends, Dogecoin stands a solid chance of hitting $1 before the conclusion of the first quarter next year.
In essence, Dogecoin surpassing Ripple could herald a pivotal moment in its journey, overcoming significant resistance levels and enhancing its potential to attain new record highs.