Dogecoin’s Rise: How and Why It’s Happening

There has been talk for some time that the price of DOGE was ready to exceed $0.1, and it has finally happened. The meme coin king, despite being away from Elon Musk’s support, was trading above $0.1 at the time of writing this article and has achieved double-digit gains for the day. So, what’s next?

Why Is Dogecoin Rising?

Dogecoin, which started as a joke 10 years ago, has reached a massive investor community over the years. The increase in its price reached such a point that in May 2021, it aimed for $1. However, due to comments made by Elon Musk on the SNL Show he participated in, the price moved away from its target, which was seen as a dream years ago. Now, after massive sales, it is giving signals of a comeback by exceeding $0.1 again.

The fundamental reason for the rise was the rally that Bitcoin‘s price has been gaining momentum for weeks. So much so that we saw that even high-risk assets like LUNC, UST, PEPE made significant gains. We were saying that this could bring liquidity to rivals like Shiba and DOGE. And so it happened, while most popular altcoins stayed put, high-risk cryptocurrencies experienced speculative surges.

DOGE Comments and Predictions

For the first time since April, the DOGE price exceeding $0.1 has also revitalized demand in futures trading. According to Coinglass data, the size of open positions increased by 58% for DOGE in the last week. A full $625 million of positions is supporting the DOGE price to rise even further.

The size of open positions at its peak on November 2, 2022, and the price surpassing $0.1 suggest that the rally could aim for new highs. Investors who believe that DOGE’s price will rise faster compared to Bitcoin are starting to shift their interest to it, taking higher risks during this rise period.

DOGE, which has not yet achieved the desired level of gains against BTC, has more room to grow. DOGE is still at bear market levels in BTC parity, and if we see movement here, a 300% rally up to $0.3 above $0.15 should not surprise investors.

However, due to the rapid rise in the price of Bitcoin and the anticipated corrective movement not yet occurring, investors should be cautious against possible sudden profit-taking.