Dogecoin eyes to gain 30% as the market ‘prices in’ a potential Trump victory
Dogecoin (DOGE) is one of the top performing crypto assets with a 12% increase in the last 24 hours. As the results of the US presidential election are approaching, memecoin has gained positive sentiment, the markets are mostly expecting the victory of the Republican Party.
In Q4, Dogecoin increased by 65% since October 1, and if Donald Trump is elected as the 47th president of the United States, the crypto asset may show another 30% increase in hours.
DOGE is “strategically positioned” among US election results.
Master Kenobi, an independent crypto analyst, mentioned that DOGE is the most “strategically positioned” cryptocurrency in the context of the US presidential election.
The trader highlighted a long-term weekly chart showing Dogecoin oscillating between breakout channel bands since early 2017. The other end of the channel or overvalued region (red line).
Dogecoin 1-week analysis from 2017 by Master Kenobi. Source: X.com
Based on the analysis above, Dogecoin's long-term target is around $11 by 2025, which represents a return on investment (ROI) of 6,447% from its current price.
It's important to note that despite repeated price action historically, the above target is often controversial.
Related: Why Is Dogecoin Price Rising Today?
New DOGE addresses increased by 100%
Elon Musk's personal relationship with the DOGE is also well-documented, and strengthened after the Tesla CEO proposed creating a “Department of Government Efficiency” to reduce government burdens and save taxpayers money. The agency's initials form DOGE, which echoes the crypto asset symbol.
This may be to improve Onchain metrics, data from IntoTheBlock indicates a 100% increase in new DOGE addresses, reaching 48,000 by the end of October.
Dogecoin new addresses. Source: X.com
The increase in new addresses may be due to new investors allocating their funds to DOGE ahead of the US election results.
Dogecoin is mostly exposed to these types of positive indicators, and a Trump victory could set off a domino effect, benefitting Musk's position and leading to a short-term DOGE rally.
From a technical point of view, the DOGE daily chart has already started to “price” in Trump's victory. memecoin outperformed Bitcoin (BTC) and Ether (ETH) in November and is currently in a bearish resistance zone.
Dogecoin 1-day chart. Source: TradingView
A daily close above $0.174 (the upper limit of resistance) clears DOGE's path to a 35% hike to $0.23, which is a yearly high.
Meanwhile, Mikubul Crypto, trader and economist, mentioned that Dogecoin is about to complete a gold cross on the weekly chart for the first time since 2020.
A golden cross is considered a bullish symbol. As seen in the chart, the same token in November 2020 produced a 20,000% ROI in May 2021, and Dogecoin reached an all-time high of $0.74.
Dogecoin Golden Cross Analysis by Mikubul Source: X.com
RELATED: Dogecoin Breakout From 3-Year Channel Shows 500% Support Potential By 2025
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
