The post Can Dogecoin surge 1000% like in 2021? Breaking down the odds appeared on BitcoinEthereumNews.com.

DOGE has all the right ingredients to repeat its historic 2021 rally, which sent it to an all-time high of $0.73. However, a lot has changed since then. Can DOGE keep up? The market slowdown has taken a toll on memecoins, with many falling below key targets. Dogecoin [DOGE] is one of the few holding on – but it’s just 4% away from losing ground.  However, its solid support above $0.30 could signal a rebound. Back in 2021, DOGE surged over 1000% to hit $0.73 in under 100 days, marking its most explosive Q1. Could Dogecoin make a powerful comeback and break new ground this quarter? Four years of change From 2021 to 2025, the crypto market has evolved rapidly. The market cap has surged to $3.5 trillion, while the number of currencies has jumped from 4,015 in 2021 to over 10,000 – a staggering 150% increase. Despite growing competition, whale wallets holding 1B+ DOGE have increased by 20%, now holding 74.07 billion coins. Open Interest (OI) has also surged 5x, crossing $1 billion in May 2021, aligning with DOGE’s bull rally. Source: Santiment DOGE has clearly seen impressive growth, with both spot and futures trading booming. But it’s still 52% off its all-time high, making the $1 target seem far off. Why? Because of its inflationary structure. Right now, there are about 148 billion DOGE coins in circulation. Unlike Bitcoin, Dogecoin has an unlimited supply. With 5 billion new coins entering circulation each year, the value of each DOGE faces constant devaluation. So, to repeat the 2021 rally and soar to $3.85, DOGE would need a market cap of $560 billion – a huge jump. For this to happen, demand would have to absolutely explode to absorb the constant influx of new coins. DOGE’s tokenomics under scrutiny For context,…

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Filed under: News - @ January 26, 2025 4:18 pm