- Demand for Dogecoin might increase because of a major date next month.
- The price might hit $0.34 one of the possible catalysts is not a “sell the news” event.
Dogecoin’s [DOGE] impressive price action in the last few days might be small compared to what could happen in April. But for AMBCrypto, that depends on if history were to repeat itself.
“DOGE Day,” which is celebrated on the 20th of April is the reason for this prediction. This date is globally known for advocating for cannabis legalization.
But in the crypto ecosystem, it is a day for Dogecoin’s community to celebrate and remind themselves of the reason for the coin’s development.
History beckons
Historically, DOGE’s Day month has been good for the price. In March 2019, Dogecoin’s price traded around $0.0020. By the next month, the coin’s value had increased to $0.0031.
2020, the value jumped from $0.0017 to $0.0025 between March and April. 2021 was when the coin experienced its biggest gains as the price rallied over 18,000% from 2020’s DOGE’s Day.
Source: CoinMarketCap
However, it was a different scenario in 2022 as the coin failed to tap fresh highs due to the bear market. But by 2023, it was back to business.
This time, it looks like DOGE would repeat that performance, considering. At press time, Dogecoin changed hands at $0.17, making it the best-performing cryptocurrency in the top 10.
Besides that, AMBCrypto’s on-chain analysis revealed that market participants might be gearing up for a parabolic rally.
DOGE leans toward a rally
According to data from Santiment, Dogecoin’s trending social rank was close to its highest point since its triple-digit rally in the first week of March.
If the metric continues to trend higher as April gets closer, then the price of DOGE might jump another 100% within the next 30 days. Another metric fueling the speculation is the total number of holders.
Source: Santiment
As of February, the total amount of Dogecoin holders was less than six million. But as of this writing, that number has increased to 6.58 million. This was a sign that demand for the coin had been enormous.
Going into the new month, it is possible to see this count extend toward seven million. Should this be the case, the price of DOGE might extend toward $0.34.
Despite the bullish signals, the $1 prediction for DOGE might not occur in April. One reason for this is that the value of the coin might need to increase 5.88x to hit that milestone.
Considering the sentiment around the coin, that might seem unlikely.
In a previous article, AMBCrypto reported how transactions valued at $1 million and above have been predominant on Dogecoin’s network.
If this continues, the bullish thesis mentioned above might come to pass.
Read Dogecoin’s [DOGE] Price Prediction 2024-2025
In addition, Coinbase is another factor that could drive up the hype. A few days ago, the exchange disclosed that it would list DOGE on its futures market on the 1st of April.
While this could grow demand for the cryptocurrency, there is also a chance it could be a “sell the news” event. Therefore, market participants need to be on the lookout.
