Introduction to Dogecoin’s Rally
Dogecoin continued its strong rally amid rising institutional demand. Its rally accelerated even after the much-anticipated spot DOGE ETF launch was delayed again. This delay has not seemed to impact the cryptocurrency’s performance, with its price reaching new heights.
Recent Price Movement
Dogecoin jumped to $0.2840, its highest level since July 21 and 100% above the lowest point in April this year. Its 24-hour volume soared to over $5 billion, a sign of relentless demand. This significant increase in volume and price suggests that investors are still very much interested in Dogecoin.
DOGE ETF Delay
Dogecoin’s price performed well, even after the Rex-Osprey Dogecoin ETF (DOJE), initially set to launch on Friday, was delayed again. In an X post, Bloomberg’s Eric Balchunas estimated that the fund will likely be listed next Thursday, Sept. 18. The delay in the ETF launch has not deterred investors, and the price continues to rise.
Differences in ETFs
DOJE will differ from the spot ETFs of companies like Grayscal, 21Shares, and Bitwise. It was approved under the Investment Company Act of 1940 and will have a Cayman subsidiary holding DOGE and its derivatives. This unique structure may attract more institutional investors to the cryptocurrency.
Predictions and Approvals
Polymarket users predict that the SEC will also approve the other standard DOGE ETFs in October, which will help boost its price. Odds of this approval are high because Dogecoin is similar to Bitcoin (BTC) as it is a proof-of-work coin. This potential approval could lead to even more investment in Dogecoin.
Institutional Demand
Dogecoin price has also jumped amid institutional demand. CleanCore Solutions has become a major DOGE buyer, and together with House of DOGE, plans to own 5% of the supply over time. Bit Origin has also bought over 70 million coins and is raising $500 million for more purchases. This significant investment from institutional buyers is driving up the price.
Technical Analysis
The daily timeframe chart shows that Dogecoin has been in an uptrend in the past few days and is now hovering at its highest point since February. It is about to flip the upper side of the ascending trendline, a move that would confirm a bullish breakout. DOGE moved above the 50-day and 100-day Exponential Moving Averages. Also, the Relative Strength Index and the Average Directional Index have continued rising.
Future Price Movement
Therefore, a move above the upper side of the channel will validate the breakout, and possibly push it to the key resistance level at $0.4320, the highest point in January, which is about 52% above the current level. If this resistance is broken, we could see Dogecoin reach new heights, driven by both institutional demand and individual investment.