In recent weeks, the altcoin market, particularly Dogecoin, has shown bearish sentiment, leading to a significant drop in its price amidst an overall decline in the cryptocurrency market's capitalization.
Current Situation in the Dogecoin Market
As of June 18, 2024, the total cryptocurrency market capitalization was approximately $3.34 trillion, down 2.4% from the previous day. Dogecoin's price has fallen over 25% in the last four weeks and currently stands at around $0.167.
Fundamental Factors Influencing Dogecoin
Dogecoin, as the leading memecoin, attracts attention from institutional investors due to its proof-of-work (PoW) consensus mechanism. According to Coinpedia, several investment funds in the U.S. intend to offer spot DOGE ETFs. Polymarket reports a 67% chance that the U.S. SEC will approve spot Dogecoin ETFs by the end of 2025.
Short-Term Forecasts for Dogecoin
Since the beginning of 2024, the price of Dogecoin has been forming a bullish trend; however, it is also under pressure from the overall bearish trend this year. In the near future, the DOGE price could potentially drop by 30% to support levels around 11 cents if it fails to hold above its established falling logarithmic trend.
The decline of Dogecoin in the market reflects broader bearish trends in the altcoin market. The future of this cryptocurrency will depend on ETF approvals and market reactions to global changes.
