Dogecoin (DOGE), the largest memcoin by market cap, has risen more than 23% in the past 24 hours, emerging as the top performer in the cryptocurrency market amid anticipation surrounding Elon Musk’s support for memcoin in the Trump administration.
Currently trading at $0.2771, DOGE has reached its highest value since October 2021, registering a rise of 86% over the past seven days and 152% over the past month.
DOGE/USD daily chart. source: TradingView
DOGE now has a market cap of over $41.2 billion at press time, surpassing USDC’s $36.9 billion (USDC) and XRP’s (XRP)’s $32.7 billion to become the sixth-largest cryptocurrency by market cap.
Performance of the top 10 cryptocurrencies by market cap. Source: CoinMarketCap
Pro-crypto Trump’s victory boosted DOGE price
DOGE’s bullish stance coincides with rallies in the cryptocurrency market, which sent Bitcoin (BTC) into price discovery, hitting a new all-time high above $82,000 on November 11. This comes less than seven days after Donald Trump won the 2024 US elections. Presidential elections.
DOGE, which has a reputation as a community-driven, high-volatility memcoin, is benefiting from renewed commercial interest due to its abbreviation potentially becoming part of Donald Trump’s new administration.
While campaigning for Trump, Elon Musk proposed creating a “Department of Government Efficiency” with the goal of reducing government waste — a concept conveniently abbreviated as DOGE.
This has sparked speculation among traders that there may be more to DOGE than just an acronym for a potential government administration, which has increased interest and interest in Dogecoin.
source: DogeGuy
High DOGE financing rates
DOGE’s bullish price action on November 11 is preceded by a jump in the interest-weighted open-end funding rate, indicating new capital entering the market. The chart below shows that DOGE’s 8-hour OI weighted funding rate rose to 0.0448% on November 11, the highest level since June 2024.
This indicates a high appetite for long positions as the price of DOGE has risen by about 23% in the past 24 hours.
DOGE OI Weighted Financing Rates. Source: Coinglass
DOGE’s rise on November 10 was accompanied by short liquidations totaling $37.25 million versus $24 in long liquidations. This resulted in short DOGE liquidating more than $36.4 million over the past 24 hours.
DOGE qualifiers. Source: Coinglass
In other words, short traders were surprised by DOGE’s rise to $0.30.
The U-shaped DOGE pattern indicates a rise to $0.37
Dogecoin’s gains today are part of a 259% rebound from the August 5 lows at $0.080, which led to the formation of a golden cross on the daily chart, recouping all the losses incurred between March 28 and August 5.
Related to: Price Analysis 11/8: BTC, ETH, SOL, BNB, XRP, DOGE, TON, ADA, SHIB, AVAX
A golden cross is a bullish technical pattern that occurs when the short-term moving average, usually the 50-day moving average (MA), crosses above the longer-term moving average, usually the 200-day moving average.
The formation of this bullish signal on November 6 led DOGE price to make a decisive move above the neckline of the U-shaped recovery pattern at $0.228.
DOGE/USD daily chart. source: TradingView
A decisive close above the psychological level at $0.30 is likely to push DOGE/USD towards the upside target of the prevailing pattern at $0.377, representing a gain of over 34% from the current price.
Conversely, a pullback from $0.28 could see a retest of the U-shaped neckline at around $0.22.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.