Dogecoin, the king of meme coins, is at it again to take the light as it reclaims its throne among meme coins. According to price data from Coinmarketcap, Dogecoin is currently outperforming other meme coins in terms of both 24-hour and seven-day periods.
Even more impressively, Dogecoin isn’t just outperforming its meme coin competitors. It also outperforms all other major cryptocurrencies in the top 20 market capitalization ratios.
As it stands, Dogecoin it looks important for a rally to $0.2but what could drive this meeting?
What’s Behind the DOGE-Double-Digit Price Rally?
At the time of writing, the price of Dogecoin is posting double-digit gains in all major periods, with a significant increase of 30% in the last seven days. A closer look at the cryptocurrency scene reveals that this price increase is not limited to Dogecoin. Many other digital assets are also riding a wave of significant gains, fueled by Bitcoin’s continued rally and break above $68,000 for the first time since June.
However, Dogecoin, which has largely followed Bitcoin’s gains since the beginning of the year, has now caught up and is currently outperforming Bitcoin. To put this in context, Dogecoin is up almost 10% in the last 24 hours, compared to 0.52% for Bitcoin in the same 24 hours.
The Dogecoin rally this week started on Tuesday, October 15, along with other cryptocurrencies. However, the Dogecoin rally shifted into full gear on Thursday, October 17. This was caused by an unexpected move from Elon Musk’s Tesla, which transferred more than $750 million of Bitcoin into new, undisclosed wallets.
Although the transaction was not directly related to Dogecoin, it sparked speculation among investors that Tesla might be turning its assets into a meme coin, which caused an increase in demand for DOGE.
Adding to the excitement, Musk briefly spoke about Dogecoin at a town hall meeting in Folsom, Pennsylvania, the same day. When asked if he would lead the new “Department of Government Operations” regarding his posting on social media platform X, Musk simply smiled and replied, “Yes, Doge.”
This is enough to be the most anticipated signal for Dogecoin enthusiasts, as many of them started to run into the meme framework again. This combination of speculation has fueled new investments in Dogecoin, creating Fear of Missing Out (FOMO) among investors.
What’s Next for Dogecoin Price?
At the time of writing, Dogecoin is trading at $0.145, its highest point since June 13. As it stands, the meme coin break beyond resistance at $0.14 and is on its way to a strong momentum for further gains. In the case of a the rally and FOMO continued, the price of Dogecoin will gradually approach the price point of $0.2 until the end of October.
However, there is still a chance for DOGE to retest the $0.14 resistance before resuming the leg up.
Featured image from Getty Images, chart from TradingView
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