Dogecoin’s price remained stable on Monday, outperforming other large-cap coins as traders turned their attention to Tuesday’s U.S. Presidential election.
Dogecoin (DOGE), the industry’s largest meme coin, rose to $0.1570, marking a 10% increase from its lowest level on Sunday. Some analysts believe that the coin has more upside potential, citing solid technical indicators and the potential victory of Donald Trump. In a post on X, AMCrypto, a popular analyst on X with 12,000 followers, predicted that DOGE could reach $1 in this bull market, implying a 540% increase from the current level.
Dogecoin exhibits additional bullish technical signs. As demonstrated in the following illustration, the token has formed a cup-and-handle pattern, a common bullish indicator. The recent pullback is likely part of the handle formation.
Notably, Dogecoin has also formed a golden cross, with the 50-day and 200-day Exponential Moving Averages intersecting. Moreover, it has risen above the 50% Fibonacci Retracement level.
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The most probable scenario is for DOGE to rise and retest the year-to-date high of $0.2286, which would be a 47% increase from the current level.
Dogecoin could perform well if Trump wins
The key fundamental driver for Dogecoin is the upcoming U.S. election, where Donald Trump has a 50-50 chance of winning.
Trump is favorably viewed by cryptocurrency investors due to his commitment to implementing supportive policies. He has also vowed to appoint Elon Musk to head the Department of Government Efficiency, with the aim of cutting at least $2 trillion in costs.
Musk, a prominent Dogecoin advocate, permits the purchase of Tesla products with the cryptocurrency and is known to hold Dogecoin.
The risk to this outlook is that Trump may not win the election. Additionally, recent polling data shows the two candidates nearly tied in swing states. Past polls—such as those from 2016 and the last mid-term elections—have proven to be inaccurate.
If Kamala Harris wins, Dogecoin’s price may fall back to $0.12 before resuming its upward trend.
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