The Dogecoin price predictions remain bullish on Thursday, despite a slight pullback from multi-week highs printed earlier this week.
DOGE, the native token that powers the Dogecoin blockchain, twice tried to poke above $0.11 on Wednesday – the cryptocurrency was boosted in tandem with broader cryptocurrency markets and traditional risk assets like US stocks.
The markets benefitted from a more dovish than expected message from the chairman of the US Federal Reserve, Jerome Powell, on the pace of further rate hikes.
Dogecoin Still In Uptrend
The bulls are taking a breather for now, with Dogecoin back to trading just under $0.1050 and down about 2.0% on the day, as per TradingView. But Dogecoin’s technicals are still looking positive, with DOGE/USD still in an uptrend since the cryptocurrency’s double bottom in the $0.07s printed earlier this month. The cryptocurrency is arguably in the process of forming an ascending triangle, with resistance currently in play in the upper $0.10s/$0.11 area.
Ascending triangle patterns are typically viewed as sign that the market is consolidating ahead of a bullish breakout. If Dogecoin can muster a sustained push above the $0.11 area, this could open the door to a rapid rally towards early November pre-FTX collapse highs in the $0.16 area. Dogecoin is already trading higher by about 29% versus its levels one week ago, according to CoinMarketCap. A rally to the early December highs in the $0.16 area would mark a further 50% gain from current levels.
Can Dogecoin hit $1 in 2023?
With Dogecoin back above $0.10, supporters are once again asking whether Dogecoin can conquer its next major psychologically important level, the $1.0 mark. The cryptocurrency surged in late October/early November on speculation that billionaire and Twitter owner Elon Musk, who is a known fan of Dogecoin, might integrate the cryptocurrency into a future Twitter payments system.
Prominent cryptocurrency/blockchain developer and Cardano founder Charles Hoskinson recently predicted that Elon Musk’s Twitter takeover could bring 200 million new users into the cryptocurrency space, and that Musk is likely to do something with Dogecoin on Twitter. Twitter integration could be just the bullish catalyst that Dogecoin bulls have been waiting for to propel the cryptocurrency back to its May 2021 all-time high in the $0.73 area and beyond, as it could generate significant demand for the token.
Another factor that could help Dogecoin reach $1.0 in 2023 could be an improvement in financial conditions – lower inflation and easier policy stances from major global central banks. Elon Musk recently called for the Fed to immediately cut interest rates to prevent a severe recession. For now, the central bank isn’t listening, and is expected to raise interest rates around further 100 bps to around 5% in 2023. But as the expected recession kicks in and inflation continues to fall back to the central bank’s target, the prospect for an easing of rates later next year/in 2024 is looking increasingly likely.
This has been helping traditional risk assets like US and global equities in recent weeks. The FTX collapse has meant that crypto has not been able to benefit as much from macro-optimism in November. But in December and in 2023, if a bull market returns to stock markets, this could be a key catalyst to support massive gains in crypto.
Alternative Meme Coin to Consider
An alternative to Dogecoin for investors interested in dog-themed meme cryptocurrencies is Tamadoge’s TAMA token. TAMA will be the native token of the Tamadoge Tamaverse, where users can play games, earn rewards, and raise their own Tamadoge NFT pets.
Tamadoge has partnered with notable players in the crypto space, including Transak, OKX, and Gate.io. Analysts believe TAMA, currently trading at under 2 cents on major exchanges, has the potential for significant gains due to its combination of meme appeal and play-to-earn gaming.
Buy TAMA on OKX CEX
Buy TAMA on OKX DEX