Dogecoin Blows Past $0.20: Is the Multi-Year Downtrend Over?

• DOGE picks up gigantic trading volumes on Spot Derivatives.
• Dogecoin’s price action went parabolic upon Donald Trump’s win.
• Fibonacci milestone raises odds for a new Dogecoin all-time peak.

The top dog crypto, Dogecoin (DOGE), is leading the broader crypto market race on Wednesday. Dogecoin’s price registered the strongest gains among the top 10 cryptos by global market cap, rising by 16.9% in 24 hours.

DOGE Network Activity Goes Through The Wall

Dogecoin danced with the bulls after Elon Musk’s continuous endorsement of the Department of Government Efficiency (DOGE), which was highly supported by the crypto community behind the meme coin of the same abbreviation. The canine coin sparked a 79% rally in 30 days, paving the way to reclaim the yearly peak of $0.225, set half a year ago.

Cheering the Republican candidate Donald Trump’s win, the DOGE Army shared joyful memes during the double-digit price rally. This rally led to an enormous trading volume of $13.5 billion in the latest 24-hour period.

With globally skyrocketing trading activity on Spot, DOGE fetched a larger 24-hour trading volume than Shiba Inu (SHIB), Ripple (XRP), and Pepe (PEPE) combined. Additionally, the extremely high trading volume on Derivatives markets served Dogecoin $23.81B in volume and $1.66B in unsettled plays.

Dogecoin Breaks Historical 0.50 Fibonacci Level

DOGE’s price movement has concluded a multi-year downward trend and surpassed the 0.50 Fibonacci Retracement level. In the chart below, Fibonacci level 1 nearly coincides with Dogecoin’s all-time high of $0.73.

Analyst Ali Martinez argued that a historical pattern shows Dogecoin typically breaching 1.618 Fibonacci levels in the bull cycle, given that DOGE claimed at least the current 0.50 Fibonacci level at $0.20. “If history repeats, we could see #DOGE hit somewhere between $4 and $23!” the veteran crypto analyst predicted.

Other crypto analysts painted a similarly bright picture, like the Crypto Crow declaring, “We won’t stop at $1, mark my words”. Along with the social buzz, the meme coin’s price growth is partly ascribed to the rising DOGE whale activity, as daily large transactions grew by 2.69%, according to blockchain analytics platform IntoTheBlock. The #8 ranked Proof of Work (PoW) blockchain’s native cryptocurrency trades at $0.1978, soaring by 173% on a year-to-date basis.

On the Flipside

• On Derivatives markets, Dogecoin’s double-digit bull session saw similar liquidations on both sides.
• Out of $59.84 million leveraged position liquidations, over $28 million were long leveraged plays on DOGE.

Why This Matters

Dogecoin is currently the most utilized blockchain by trading volume aside from Bitcoin and Ethereum.

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