Despite a shaky start to the year and a rough market performance for many coins in the middle of 2024, the end of 2024 was filled with a lot of good news for many cryptos, as many market actors bounced back with incredible performances. Bitcoin was one of the biggest winners as it finally got a taste of the highly coveted 100k valuation, and while Dogecoin didn't get much shine last year, it's proving to start 2025 with a bang.
In a very underdog fashion, Dogecoin has surged over 21% over a week-long progression that has seen the meme coin outperform other big meme coin players, including Shiba Inu, Pepe, and even Bonk, even though each of these meme coins went up 7%, 10%, and 14%, respectively.
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While Dogecoin was largely left out of last year's crypto boom, this recent rally suggests that the meme coin has received renewed interest from whales. On January 3rd, doge whales bought over 1.08 billion Dogecoin tokens worth over $413 million.
Whales bought over 1.08 billion #Dogecoin $DOGE in the last 24 hours! pic.twitter.com/Ow2j6I1MDV
— Ali (@ali_charts) January 2, 2025
According to the blockchain analytics platform Blockchair, more than 399.9 million DOGE worth approximately $144.9 million was moved from Binance to an unknown wallet.
Even though Dogecoin has not really been in the crypto conversation, data from CryptoRank has shown that this January has consistently been DOGE’s best-performing month, with an average return of 85%. It's the best month as of this writing.
In previous years, big wins have also been recorded in Dogecoin’s performance. In January 2021, DOGE soared 711% and January 2014 also came with a 269% increase. April is generally considered the second-best month for Dogecoin as the dog-themed meme coin recorded spikes like 546% in April 2021 and 84.9% in 2018.
Following this impressive stat in the first month of the year, Alex Thorn, Galaxy Digital’s head of research, forecasted that DOGE could surge by 170%. Should that happen, Dogecoin would reach $1 for the first time and push its market capitalization to $100 billion. According to Thorn’s prediction for Galaxy 2025, “Dogecoin will finally hit $1, with the world’s largest and oldest meme coin touching a $100bn market cap,”
Dogecoin will finally hit $1, with the world’s largest and oldest memecoin touching a $100bn market cap. However, the Dogecoin market cap will be eclipsed by the Department of Government Efficiency, which will identify and successfully enact cuts in amounts exceeding Dogecoin’s… pic.twitter.com/xcwRHhpMTn
— Galaxy (@galaxyhq) January 2, 2025
In his predictions, he referenced the newly created Department of Government Efficiency, popularly known as DOGE, established by the United States President-elect Donald Trump. In his words, “However, the Dogecoin market cap will be eclipsed by the Department of Government Efficiency, which will identify and successfully enact cuts in amounts exceeding Dogecoin’s 2025 high-water mark market cap.”
According to Donald Trump, the department will be headed by popular businessman Elon Musk alongside Vivek Ramaswamy. It remains unclear whether and how the Department of Government Efficiency will affect Dogecoin's performance, but for now, the market is only focused on positive growth.
Kataryna Habeliia
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