Dogecoin $0.175317 recently witnessed a 3% dip, testing the $0.187 support level as Bitcoin $102,347 fell below the $105,000 threshold. Despite this setback, Dogecoin has shown a recovery of 10% over the past four weeks. With a market cap around $28 billion and a 24-hour trading volume of $748 million, interest from institutional investors is rising. Polymarket data reflects a 51% chance of a spot Dogecoin ETF being approved within the year, while Coinbase-backed Base network’s “wrapped DOGE ” integration broadens its applications.
Short-Term Prospects for Dogecoin Price
Dogecoin leverages its Proof of Work consensus to capitalize on Bitcoin’s declining dominance. A breakout from the descending wedge formation on the daily chart could lead the price to stabilize above $0.26, generating new momentum. The $0.187 support has strong buyer interest, but if it breaks down, historic support around $0.16 may come into play. Though short-term volume growth remains limited, RSI nearing the neutral zone suggests room for potential gains.
Growing ETF expectations are adding allure to risk appetite in altcoin investments. Fund managers such as 21Shares, Grayscale, Bitwise, and Rex Shares are awaiting approval to launch a spot Dogecoin ETF in the U.S. Compared to futures products, a spot fund approval could usher direct cash inflows into Dogecoin, smoothing its price volatility. This scenario elevates expectations for both short-term and long-term investors.
Ambitious Mid-Term Goals
Bitcoin’s dominance hitting resistance at 65% strengthens the anticipation for an altcoin season this year. Dogecoin’s characteristically delayed market response bolsters the possibility of a parabolic move if the rally gains pace. Technically, maintaining daily closures above $0.26 could quickly spotlight targets at $0.35, $0.50, and even $1.
As the likelihood of ETF approval increases, Dogecoin’s ecosystem sees expansion in use cases. The Base network’s “wrapped DOGE” enhances interaction with decentralized finance protocols, boosting liquidity. This progress deepens the network’s integration with DeFi and smart contracts. Experts assert that even without approval, the application process enhances institutional visibility, while approval could see the $1 mark emerge as a major psychological barrier.
