Dogecoin Price Surges 20% Following New Department Announcement
The Dogecoin price surged 20% following President-elect Donald Trump's announcement of a new Department of Government Efficiency (DOGE) led by Elon Musk and Vivek Ramaswamy. Over the past 30 days, Dogecoin has increased by approximately 250%, significantly surpassing Bitcoin's 40% rise in the same period.
Dogecoin's strong performance against Bitcoin has resulted in the DOGE/BTC pair breaking above a descending trendline. Crypto analyst KALEO predicts further gains for Dogecoin against Bitcoin, highlighting a significant breakout in the DOGE/BTC pair.
Potential for a 175% Surge
KALEO provided an optimistic outlook for Dogecoin, analyzing the DOGE/BTC trading pair. The analysis indicates that the pair has been in a downtrend since early 2021, marked by lower highs and lows. However, recent movements have seen it break out of the upper trendline, reminiscent of early 2021 before a 175% rally that peaked at $0.7316. KALEO suggests that current momentum could lead to another rapid increase of 175%.
Market conditions, along with heightened interest due to Trump's election and Musk's involvement, are contributing to this favorable setup for a potential rally. KALEO stated, “With the way the market has moved recently, and how much strength Dogecoin has shown after Trump was elected and Elon starting to push again, I wouldn’t be surprised to see something similar here.”
Accumulation Trend Indicates Continued Price Surge
In addition to the technical analysis, KALEO observed an accumulation trend in the last 48 hours post-breakout. The DOGE/BTC pair is currently consolidating within a range above a higher timeframe resistance level, establishing a solid foundation for a bullish move. This accumulation phase has historically preceded rallies and may do so again.
The overall crypto market also supports KALEO’s bullish outlook for Dogecoin against Bitcoin. With Bitcoin expected to continue its upward trajectory, the projected Dogecoin rally is poised to be more pronounced.
Currently, Dogecoin is trading at $0.401, while Bitcoin is priced at $90,800.
