Dogecoin Rallies Ahead of ETF Launch: What to Expect

Dogecoin (DOGE) has seen a temporary price rally, rising over 3% on Monday after a period of decline since its peak in November 2024. This uplift comes just before the launch of the much-anticipated DOGE ETF, which received approval from the New York Stock Exchange. However, despite this bullish movement, market analysts urge caution due to ongoing selling pressure from larger investors.

Key Takeaways

Dogecoin's price increased by more than 3% ahead of the DOGE ETF launch.
The New York Stock Exchange approved the Grayscale Dogecoin Trust ETF Shares.
Analysts are cautiously optimistic, noting substantial selling by whales during the rally.
DOGE is currently trading at $0.146.
The impact of celebrity endorsements, especially from Elon Musk, continues to influence the token's price.

DOGE ETF Price

Dogecoin's Price Movement and ETF Anticipation

On Monday, the price of Dogecoin (DOGE) experienced a brief rally, marking a gain of over 3%. This uptick follows a consistent drop in value since reaching its peak in November 2024. The rise comes just before the highly anticipated launch of the DOGE ETF product later today, with the New York Stock Exchange having just approved the trading of Grayscale Dogecoin Trust ETF Shares last Friday.

Bloomberg ETF analyst, Eric Balchunas, had predicted that the fund would officially launch today, November 24, based on guidance from the SEC. Another ETF analyst, Nate Geraci, refers to this event as a “highly symbolic” and “monumental shift” in crypto regulations over the past year. He noted on social media, “GDOG might already be a top 10 ticker symbol for me.”

DOGE Sees Growth Amid Market Trends

In the last 24 hours, DOGE's performance has been notable, rising nearly 3%, especially when compared to Bitcoin, which is down 1.4%, and Ethereum, which decreased by 0.8%. This ETF news has further cemented DOGE's reputation as the leading memecoin, attracting investment that had previously been on the sidelines. Currently, DOGE is trading at approximately $0.146, according to CoinMarketCap.

DOGE Trading Data

Despite this rally, data from Coinglass indicates that large investors, referred to as "whales," sold off around 200 million DOGE, equivalent to $29 million, during this price increase, which has capped potential gains. The recent price surge has also been linked to mentions by influential figures such as Elon Musk on social media.

In a somewhat unrelated development, the White House recently announced the quiet dissolution of the Department of Government Efficiency (D.O.G.E.), even with eight months left on its operational timeline. Although this news is not directly associated with the cryptocurrency, any mention of DOGE tends to influence its market price significantly.

While the launch of the Dogecoin ETF represents a key milestone for the token, analysts remain cautiously optimistic, considering the ongoing challenges that the broader crypto market faces, along with the selling activity by significant investors.