TLDR
- Dogecoin surged over 40% in 24 hours, reaching $0.41, highest level since May 2021
- 95.25% of Dogecoin investors are currently in profit
- Long positions ($320M) heavily outweigh shorts ($20M) across major exchanges
- Price surge coincides with Bitcoin reaching new all-time high of $89,561
- Speculation tied to Elon Musk’s potential “Department of Government Efficiency” (D.O.G.E) under Trump administration
Dogecoin has surged past $0.41, marking its highest price point since May 2021 and breaking through a three-year resistance level.
The popular cryptocurrency recorded a 43.4% gain in just 24 hours, pushing its market capitalization to $53 billion.
The price movement comes as Bitcoin reached a new all-time high of $89,561, creating a ripple effect throughout the cryptocurrency market.
Dogecoin’s performance stands out among major cryptocurrencies, with a monthly gain of 252% that overshadows other top performers like Cardano’s 66% increase.
Trading data reveals a strong bullish sentiment in the market. Major exchanges including Binance, OKX, and Bybit show long positions totaling over $320 million, while short positions amount to just $20 million.
This sixteen-to-one ratio indicates traders are heavily betting on continued upward momentum.
The surge has resulted in profitable positions for most Dogecoin holders. According to IntoTheBlock data, 95.25% of investors are currently in profit, while only 0.02% are at a loss. The remaining 4.73% of positions are at break-even levels.
Trading volume has seen a notable increase, rising 26% in the past 24 hours according to Coingecko data. This uptick in volume suggests sustained buyer interest and could support further price appreciation.
Technical analysis indicates that Dogecoin may be entering an impulsive wave pattern. The breakthrough above the $0.35 resistance level has opened up the possibility of reaching the previous all-time high of around $0.76, established during the 2021 bull run.
Market observers are now discussing the potential for Dogecoin to reach the symbolic $1 mark, a price target that has captured the community’s imagination since 2021. The current rally has reignited these discussions, with some analysts suggesting this goal could be achieved by year-end.
Recent developments in the political sphere have added another dimension to Dogecoin’s momentum. Technology entrepreneur Elon Musk’s discussions about creating a “Department of Government Efficiency” (abbreviated as D.O.G.E) have sparked speculation about increased mainstream attention for the cryptocurrency.
The price surge has had a notable impact on derivatives markets. DOGE-tracked futures experienced over $68 million in cumulative losses, marking the largest liquidation event for the token this year. Open interest is approaching lifetime record levels last seen in April.
BREAKING: Dogecoin just crossed $61 billion market cap!$DOGE has seen its market cap increase by an EXTRA $45.15 billion in just 1.5 months
while i believe doge is going much higher and will hit $1 this cycle
betting on strong, established doge betas like $FLOKI, $BONK, and… https://t.co/paGL82mIvi pic.twitter.com/Cr673UoMXO
— Unipcs (aka ‘Bonk Guy’)
(@theunipcs) November 12, 2024
Dogecoin’s position in the cryptocurrency hierarchy has strengthened, with its market capitalization now placing it just below BNB in the rankings. A continued rally could see it surpass both BNB and Solana to become the fourth-largest cryptocurrency by market value.
The breakout has occurred across multiple technical indicators. After clearing the $0.23 and $0.35 resistance levels, the path to previous highs appears to have fewer technical barriers.
Trading metrics show increased activity across major exchanges. The 24-hour trading volume spike suggests broad participation in the rally, with both retail and institutional traders showing interest.
The cryptocurrency’s performance represents a marked change from its recent trading range. Prior to this breakout, Dogecoin had been consolidating for an extended period, making the current move more notable.
The latest price action has triggered cascading liquidations of short positions, potentially adding fuel to the upward movement through a short squeeze effect.
Price movement data shows the rally has maintained momentum despite reaching overbought conditions on some technical indicators. The most recent price of $0.4050 represents a clean break above previous resistance levels.
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