Will DOGE reach $1 this cycle? Analysts say it is a ‘swindle’.

With the increasing number of memecoins entering the market, the strong community of Dogecoin (DOGE) may prevent the cryptocurrency from falling into obscurity, but analysts doubt traders' hopes that it will reach the dollar value this cycle.

The one dollar price tag from Dogecoin May 2021 represents an all-time high of $0.73 and a 525% increase from today's price of $0.16.

Last week, DOGE posted a gain of 2.58% – much less growth compared to other large-cap memecoins, according to CoinMarketCap data.

The next three largest memcoins by market capitalization have experienced significant price increases over the past seven days, with PEPE (PEPE) gaining 43%, Shiba Inu (SHIB) gaining 17.42%, and Dogwifhat (WIF) gaining 14.43%.

“DOGE is one of the most cyclical altcoins in the space,” pseudonymous trader Rect Capital told Cointelegraph, adding that the rising popularity of other memecoins shouldn't have a big impact on investor sentiment on the big memecoin.

“Other meme coins launched doesn't mean DOGE will suffer,” Recht added.

Pav Hundal, the lead analyst for the Australian crypto exchange Swyftx presented a more skeptical position, saying that while DOGE has a “large community of users”, any sharp spikes in price could result in significant sell-offs from long-term holders.

A lot depends on the decision-making of millions of investors who bought DOGE in 2021 and are currently sitting on paper losses,” Hundel told Cointelegraph, noting that he is not sure if the price will hit one dollar before the sell-off. It's gone.

“It's a crapshoot. If most of these guys decide to take a quick profit during the cycle, they might start seeing pressure selling.”

Hundal added that Dogecoin “isn't seeing the deep books of the last cycle.” In the commodities market alone, Open Interest (OI) has fallen by 56% since the beginning of April.

OI in Doge—measured by the total value of all outstanding or unsettled DOGE futures contracts—declined to $928.72 million from $2.15 billion on April 1, according to CoinGlass data.

Related: Is Dogecoin recording the 2020 fractal that sent DOGE price up 15,800%?

Despite the decline in activity for derivatives of memecoin, Rekt Capital points out “the cycle in the chart of DOGE” Dogecoin is still “very likely” to reach the price of one dollar in this cycle.

He reiterated that Dogecoin is full of “historical heritage” and has mostly predictable cycles, which traders often point out on social networks.

Anonymous trader Blockchain Mane said to his 15,300X followers in an April 24 post that DOGE will see price growth in May, looking at past data.

Recht Musk says he's still “very interested in Dogecoin” and sees social media posts from billionaire Elon Musk as a price boost.

Since April 17th, Musk has been regularly meeting with popular DOGE influencer DogeDesigner on X.

In the year In April 2023, Musk asked a US judge to dismiss a $258 billion lawsuit filed by investors for a pyramid scheme to promote Dogecoin. Although Musk has recently hinted that interest in crypto may be slowing down a bit.

“I don't spend a lot of time thinking about cryptocurrency. Hardly any,” Musk told ArchInvest CEO Kathy Wood at X Place in December 2023.

Magazine: ChainLinkGod was in high school when he started his account! X Hall of Flames