Dogecoin could see an uptick in May linked to a historical trend

Bitcoin has a historical trend of seeing a surge in value after the Halving event. Similarly, analysts highlight that Dogecoin has a historical trend of tremendous gains in May. Meaning, the listed value could jump significantly in the next month, provided all factors align and the trend once again responds this year. An average gain during May has been 85%, with a maximum of 535%.

A surge in the value will set the stage for DOGE to reach the $1 milestone. The ATH is $0.73. The token is backed by strong community support; however, analysts predict that most of them could be looking to build a sell-off phase to take some portion of the profit back to their homes. This is grounded in the fact that they entered the segment in 2021 and are sitting on paper losses. Volatility is a guaranteed factor that will happen. Therefore, any sign of profit will be a gain for them; they can take it home safely instead of sticking around and waiting for a higher value. That is a speculation, and the community can remain intact for a longer time.

Dogecoin currently sits at the value of $0.1616, with a jump of 1.72% in the last 24 hours. It further reflects a rise of 3.30% in the last 7 days and 104.52% in the last 365 days. The market cap and 24-hour volume were up by 1.71% and 3.30%, respectively, at the time of drafting this article. Dogecoin price prediction estimates that the token will end the year at $0.26. Alternatively, it can end in 2024 at $0.23. These values are nowhere close to the dollar mark, but they do hint at a rise in the exchange value.

Rekt Capital interacted with the media to highlight that DOGE has one of the most cyclical trends in the altcoins sphere. DOGE currently faces challenges from several meme coins entering the market. The top contenders are PEPE, SHIB, and WIF. All three tokens have been up in the last 24 hours.

PEPE has bagged a growth of 17.10%, SHIB of 1.61%, and a Dogwifhat (WIF) of 20.88%. WIF, for one, is already above the dollar mark. They are exchanging hands at $0.000007975, $0.00002719, and $3.37, respectively.

Rekt is confident that existing meme coins or those entering the market to flood it with more options won’t affect DOGE. Pav Hundal, an analyst at Swyftx, said that a huge community of users is supporting DOGE, adding that any significant price rise may cause a significant sell-off from long-term holders. Addressing minnow investors, Pav stated that a lot will depend on their decisions since they have been sitting on paper losses.

Also, Open Interest in Dogecoin has dropped to $928.72 million from the high of $2.15 billion as of April 1, 2024. A drop in the derivatives market is less likely to affect Dogecoin because of its cyclicality in the chart, which is still poised to reach $1 eventually.

Scott Cook

Scott Cook got into crypto world since 2010. He has worked as a news writer for three years in some of the foremost publications. He recently joined our team as a crypto news writer. He regularly contributes latest happenings of crypto industry. In addition to that, he is very good at technical analysis.

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