Dogecoin (DOGE) surged 10.53% over the past 7 days as its price reached $0.12277. Prices oscillated between $0.10 and $0.13, with technical indicators pointing to rising prices.
Rumors of a Grayscale listing have revived market excitement. Analyst Ash Crypto predicts the DOGE price will hit $1 in the next 6–12 months.
“$DOGE feels like a god candle is coming,” another analyst said. The phrase ‘god candle’ describes a sharp price surge over a short period.
Dogecoin Technical Analysis Signals Bullish Momentum
Dogecoin has rallied this week on a strong upward trend, as seen in the technical chart. The MACD indicator shows a strengthening bullish momentum, as the MACD line stands at 0.00053 and crosses the signal line at -0.00383, indicating the start of bullish momentum.
With RSI at 51.82, it is still neutral but trending up from 46.55, indicating more upward potential. Now, analysts think that if Dogecoin can hold above $0.13, it could see more imminent price increases.
Grayscale Listing Rumors Drive Price Surge
Market speculation is that Grayscale, a major digital asset manager with $13.87 billion in Bitcoin holdings, could soon include Dogecoin. However, this possibility has sparked renewed interest in the memecoin with traders anticipating institutional investment to increase prices.
A Grayscale listing could be good for Dogecoin market legitimacy and put it on the path to wider institutional adoption. Dogecoin remains 83% below its 2021 peak and has maintained its status as the largest meme coin by market capitalization.
Political Ties: The ‘D.O.G.E.’ Connection
Dogecoin’s price surge has also been attributed to Elon Musk’s recent political activity. Under the DOGE name, Musk suggested creating a ‘Department of Government Efficiency’ and donated $75 million to Trump’s campaign.
In addition, Trump has indicated he would appoint Musk to lead a government efficiency commission if reelected, increasing speculation that the D.O.G.E. concept could gain political traction. Historically, Musk’s involvement in Dogecoin has had a direct impact on its price, with tweets and announcements leading to large market movements.
In recent times, Musk tweeted, “D.O.G.E will fix it” after California officials blocked SpaceX launches. This tweet contributed to the social media buzz, which helped increase interest in Dogecoin and paved the way for its skyrocketing price.
Dogecoin On-Chain Data: Exodus of Weak Holders
On-chain data by Santiment shows that in the past week, around 106,600 addresses have cleared out their holdings of Dogecoin as its price rises. The total number of holders fell to 6.62 million, the lowest since April.
However, many analysts say the sell-off of less committed traders could lower volatility and keep Dogecoin’s recent gains in check. If the uptrend continues, it could be heading to a sustained surge.
