Dogecoin (DOGE), the leading meme coin, has experienced a significant price surge, climbing over 50% since mid-October. This surge has been linked to growing anticipation of a Donald Trump victory in the U.S. presidential elections. With Tuesday’s trading seeing DOGE up another 8%, bullish sentiment appears to be gaining traction as investors eye a potential new yearly high for the popular cryptocurrency.
Dogecoin Investors Bet on a Trump Win and the “D.O.G.E. Agency”
Since the U.S. election season began, Dogecoin has become one of the best-performing digital assets, catching the attention of both retail and institutional investors. The cryptocurrency’s recent rally is driven largely by speculation that a Trump victory could boost DOGE due to plans for a new government body called the Department of Government Efficiency (D.O.G.E.), a project Trump has hinted at in past statements. The connection between Dogecoin and Trump has bolstered bullish momentum for the meme coin, with investors doubling down on long positions amid election optimism.
The Road to $0.1758: Dogecoin’s Key Resistance Level
Currently trading near $0.1700, Dogecoin is hovering close to a psychological resistance level of $0.1758. This level has proven challenging for DOGE, as it previously failed to break through in recent trading sessions. According to Coinglass data, over $130 million in long positions were opened for DOGE in the past 24 hours, reflecting heightened investor confidence.
On the technical side, Dogecoin’s momentum remains strong, with the Relative Strength Index (RSI) and Stochastic Oscillator both sitting above their midlines. This bullish outlook suggests that DOGE has room to move higher if it can close above the $0.1758 resistance level, potentially pushing the price toward $0.2106. If this rally gains additional momentum, DOGE could set a new yearly high, breaking the upper boundary resistance of $0.2288.
Also read : Dogecoin Price Teeters On $0.093 Support – 20% Drop Looms Amid Bearish Trend
Potential Corrections Ahead: Risks and Support Levels
Despite the bullish sentiment, Dogecoin faces the risk of a correction, especially if the election outcome favors Democratic candidate Kamala Harris. Additionally, if DOGE drops below its 50-day and 100-day Simple Moving Averages (SMAs), it could signal a decline to its support level at $0.1423. A daily close below $0.1423 would invalidate the bullish thesis and potentially push DOGE lower to $0.1111.
