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Renowned crypto analyst Cephii suggests that the price of Dogecoin could be gearing up for a massive 1,100% surge.
The crypto analyst made this suggestion in an X post today, drawing a parallel between Dogecoin’s price movements in the previous and current cycles. According to Cephii, the firstborn meme coin surged by 1,100% within a week after the inauguration of the U.S. president in 2021.
Dogecoin Mirroring Its 2021 Performance
The accompanying chart shows that Dogecoin’s price rose by 1,107% at the time, soaring from $0.006583 to $0.07291 in January 2021, following President Joe Biden’s inauguration. Interestingly, Cephii indicated that Dogecoin’s 2024 post-election price pattern is almost similar to the 2021 cycle.
This suggests that similar conditions, especially the inauguration of a new administration in the United States, could lead to another jaw-dropping rally of 1,107% for Dogecoin.
At the time of the post, Dogecoin was trading at $0.3441 per token. If Dogecoin replicates its January 2021 post-inauguration performance and soars by 1,107% in the current cycle, its price could increase to $4.1532 after Trump is inaugurated as the 47th president of the United States. This will take its market cap to $613.02 billion from the current value of $50.79 billion.
Dogecoin to $4 Predictions
Several market observers have predicted that Dogecoin will soar to around $4 this cycle. For instance, last month, Elemento Cripto founder Javier Santini projected that Dogecoin would clinch this price target in a week or less. However, this prediction failed to materialize.
Furthermore, Dogecoin analyst Kevin forecasted that Dogecoin could reach an all-time high (ATH) of around $4 before the end of this cycle.
Impact of Trump’s Presidency on Crypto
For context, Trump’s inauguration will take place on January 20, 2025. Unlike previous administrations, his victory has already had a positive impact on the broader crypto market. The prices of various crypto assets like Dogecoin surged tremendously immediately after Trump’s victory became evident.
Specifically, Dogecoin outperformed Bitcoin in the early stage of the Trump-led rally, with the doggy-themed token soaring by nearly 250% in weeks.
However, the asset has plummeted heavily ever since, falling 28.83% to $0.3441 from its multi-year peak of $0.4835. Nonetheless, investors have remained confident that Dogecoin’s price will rebound immediately after Trump fulfills his crypto sector promises.
So far, the U.S. President-elect has kept to his words, appointing several pro-crypto advocates into top positions under his administration, including the Treasury Secretary and the SEC. Crypto stakeholders are also lobbying Trump to establish a Strategic Bitcoin Reserve within the first 100 days in office.
If implemented, it could bolster Bitcoin’s adoption and create ripple effects across the broader crypto market. Assets like Dogecoin are expected to benefit due to their strong correlation with BTC, which stands at 97% over the past 30 days, according to IntoTheBlock data.