Dogecoin market capitalization has now surpassed that of Cardano, making it the 8th largest digital asset.
According to CoinMarketCap, DOGE has rallied by over 100% in the last seven days following Elon Musk Twitter acquisition. The market cap of Dogecoin also neared $20 billion on Oct. 29 before dropping to $16.35 billion at press time.
The latest DOGE bull rally is being fueled by speculation about the role Dogecoin could play on Twitter.
Traders React to Dogecoin Bull Rally
The surge in the price of Dogecoin has already generated significant returns for many traders. The SlumDOGE Millionaire shared a screenshot showing that he made over $250,000 in unrealized profits after DOGE jumped by 75% within 24 hours.
The rise now means the Dogecoin price is trading above $0.10 for the first time since May 2022. The crypto market sentiment remains bullish among traders, with many speculating DOGE price will hit $1.
Trading veteran Peter Brandt tweeted that DOGE price has led to an upside violation of the bear market channel that began in May 2021. Such market behavior leads Brandt to believe that Dogecoin price trend is reversing and could enter a new bull market.
Crypto Bitlord appears to be more bullish. The crypto trader said if DOGE price were to follow its previous pumps, it could go as high as $28.
Still, other crypto traders have pointed out that this Dogecoin price prediction is farfetched as it means DOGE market cap would have to surpass $1 trillion.
The recent price performance has also seen Dogecoin price exceed its 200-day moving average for the first time since Nov. 2021. Such important market behavior has not been unnoticed.
In fact, some of the most renowned analysts in the industry believe that the DOGE price will kick-start the next crypto bull market.
Nonetheless, there are still some doubters. Some market participants believe Dogecoin price pump is temporary and expect the crypto to dump. Reaching $1 in the current market condition could prove challenging. DOGE price would have to surpass its previous all-time high.
Most of the current DOGE price performance is fueled by speculation about Elon Musk decision. It remains if the enthusiasm will remain once Musk manages to deliver on his Web3 promises.