TL;DR
- Some analysts highlight DOGE’s strong chart patterns and view the recent dip as a buying opportunity.
- Elon Musk’s role in the US government under Trump’s administration and his continued endorsement of DOGE could enhance its visibility and utility, driving potential price growth.
New DOGE Rally on the Horizon?
The meme coin niche suffered a severe blow in the past 24 hours, with its market capitalization plummeting by over 13%. Some of the worst-affected assets charting double-digit price declines include Shiba Inu (SHIB), dogwifhat (WIF), Bonk Inu (BONK), Popcat (POPCAT), Peanut the Squirrel (PNUT), and more.
The sector’s undisputed leader – Dogecoin (DOGE) – is also well in the red, albeit suffering a bit less than most of its rivals. Several hours ago, its price dipped under $0.40, while currently, it trades at around $0.41 (per CoinGecko’s data), representing a 5.5% plunge on a daily scale.
Many analysts, though, remained unfazed by the pullback. Some, such as Ali Martinez, were even thankful for the dip, viewing it as a buying opportunity.
Check out where we are in the #Dogecoin $DOGE bull cycle! Very early, right?
For that reason, I’m thankful for the dip and will buy more between $0.40-$0.30. The target remains $3, and if things go wild, $18! pic.twitter.com/jdPODkxgHe
— Ali (@ali_charts) December 9, 2024
Other industry participants who have made bullish Dogecoin price predictions include Jake Wujastyk and Cephii. The former described the latest correction as “a little flush to clear out the leverage,” which might be followed by another resurgence.
Cephii claimed that DOGE has one of “the strongest charts around” and a high potential for further gains in the near future.
DOGE to Thrive During Trump’s Reign?
Donald Trump’s win in the US presidential elections last month was undoubtedly considered great news by DOGE proponents. After all, America’s upcoming political leader has Elon Musk in his inner circle and even appointed him to lead a new division called the Department of Government Efficiency (D.O.G.E.).
The unit is expected to reduce bureaucracy, cut government spending, and enhance efficiency, with Trump describing it as “The Manhattan Project” of our time.
For his part, Musk is a well-known proponent of Dogecoin, often praising its merits and endorsing it on X. Earlier this year, Tesla (the EV giant spearheaded by the billionaire) integrated the meme coin as a payment method on its website. There are also rumors that X (the social media platform that Musk purchased for $44 billion in 2022) might embrace DOGE settlements sooner or later.
Elon Musk’s involvement in the US political scene may positively affect DOGE’s price. However, its performance will also depend on various other factors, such as broader market trends and developments within the Dogecoin ecosystem.
