The Dogecoin price now appears to have firmly established a support level around $0.17, having rebounded just below it in the past 24 hours. With this $0.17 price level cleared, the next significant move would be a convincing break above $0.18. Interestingly, technical analysis of Dogecoin indicates a longstanding resistance level between $0.18 and $0.20.
According to Elliot wave analysis, surpassing these resistance levels could pave the way to a peak of $2.4. This target, while ambitious, is not out of reach for Dogecoin, which has recently gained renewed popularity. This resurgence in interest can be attributed to its capacity to capture the imagination and investment of numerous market participants, notably influenced by actions from billionaire Elon Musk, who has brought Dogecoin to mainstream attention.
Aside from the broader rise in cryptocurrency prices, led by Bitcoin, Dogecoin’s performance has been significantly boosted by Elon Musk and his “Department Of Government Efficiency.”
An analysis by a crypto analyst known as @HovWaves on the social media platform X suggests that Dogecoin may be poised for a climb to $2.4. Reaching this level would require substantial investment inflows across the investor spectrum. Recent events have heightened interest in Dogecoin, notably within the context of the United States presidential election campaigns.
These campaigns have witnessed the introduction of the Department of Government Efficiency by Elon Musk, a campaign strategy by Republican candidate Donald Trump aimed at reducing federal spending by $2 trillion. While not directly linked to cryptocurrencies, the term “Department of Government Efficiency” abbreviates to DOGE, the ticker for Dogecoin, which has caught the attention of investors. Elon Musk has further fueled this narrative by posting a picture of himself alongside the Dogecoin mascot.
HovWaves noted that the buzz surrounding the Department Of Government Efficiency has significantly boosted the visibility of DOGE, culminating in a 60% price increase since October 1.
Technical analysis using Elliot Wave theory indicates Dogecoin is currently in its third impulse wave, a phase typically characterized by strong bullish momentum. This trend suggests that Dogecoin is on the verge of breaking through a critical resistance level, identified by HovWaves as being just below $0.18.
If Dogecoin successfully breaks past this resistance, it would then be positioned to retest its 2024 high of $0.22. A subsequent break above this level could propel it towards its all-time high of $0.73, recorded in May 2021. Given sufficient momentum, HovWaves projects that Dogecoin could potentially reach a confluence area of $1.9 to $2.9 by July 2025.
At the time of writing, Dogecoin is trading at $0.1725. Achieving a price between $1.9 and $2.9 would reflect gains of 1,000% to 1,585%, respectively. Dogecoin’s ongoing recovery reflects its robust market performance and the sustained interest from the investment community.
