Dogecoin (DOGE) surged over 12% on Election Day, defying the overall downward trend in significant cryptocurrencies as market sentiment shifted ahead of a closely watched U.S. election.
While Bitcoin (BTC), the world’s largest cryptocurrency, struggled to maintain momentum and hovered near $69,000, DOGE emerged as the standout performer. The global crypto market cap saw a marginal drop, totaling $2.29 trillion, with trading volume reaching $85.25 billion as of Tuesday.
DOGE jumps 54% in 30 days, boosted by Musk’s support
Dogecoin’s recent rise has been remarkable, with its price increasing by roughly 54% over the past 30 days. This growth was partially fueled by billionaire Elon Musk, who unexpectedly referenced DOGE through his idea of a “Department of Government Efficiency.” Musk’s suggestion to reduce government spending has been linked to Dogecoin, further driving interest in the meme coin.
In the last 24 hours alone, DOGE has seen a 12% increase, recovering from recent declines and marking a positive trend on the weekly chart. Year-to-date, Dogecoin has gained an impressive 88%, trading around $0.168 at the time of reporting. Its daily trading volume has also surged by 56%, hitting $3.2 billion. According to Coinglass data, $17.31 million worth of positions in DOGE were liquidated in the past day, with 57% of those liquidations being short positions. This indicates that many traders anticipated a price drop for Dogecoin but were caught off guard by the bullish rally.
The surge in Dogecoin’s price has also contributed to gains in other meme-based cryptocurrencies. The total market cap for meme tokens has risen by 5% over the past day, reaching $57.41 billion, while their 24-hour trading volume has jumped 16% to $6.75 billion.
Bitcoin slides 3% amid market concerns
While Dogecoin rallied, Bitcoin faced a 3% price dip over the past week, partly due to concerns surrounding the now-defunct Mt. Gox exchange. The exchange recently moved $2.2 billion worth of Bitcoin, raising fears of potential sell-offs as creditors look to recover their funds. This added to market unease, with traders speculating about possible sell-offs that could put downward pressure on BTC prices.
Adding to the uncertainty, Bitcoin ETFs saw an outflow of $579.5 million on Monday, signaling caution among investors as Election Day approached. The tight race between candidates with differing stances on cryptocurrency pro-crypto former President Donald Trump and regulatory advocate Kamala Harris has kept traders on edge. The election’s outcome could shape future policies impacting Bitcoin and the broader cryptocurrency market.
Bitcoin reached an all-time high of $73,700 in March and is now trading at an average of $68,916 as of press time.
DOGE’s performance reflects the growing interest in meme coins
Dogecoin’s Election Day gains highlight a rising trend in meme coins, with DOGE leading the charge. Over the past 30 days, Dogecoin’s price appreciation has outpaced other major cryptocurrencies, underscoring its unique position in the market. This performance comes despite broader market challenges and investor caution surrounding Bitcoin and other significant assets.
The trading data for DOGE, including liquidated short positions and the rising trading volume, suggests bullish solid sentiment. With influential figures like Elon Musk continuing to support Dogecoin, it has solidified its role as a critical player in the meme coin sector, drawing attention from retail and institutional investors.
As Election Day unfolds and market participants await policy signals, Dogecoin’s resilience indicates a growing appetite for alternative digital assets, even amid uncertain market conditions.