Dogecoin Surges 7.44% on ETF Approval Hopes

Dogecoin (DOGE) has experienced a notable price recovery, rising 7.44% to $0.1576 in the past 24 hours. This rebound comes after a period of decline, with the cryptocurrency still down 12.49% over the last seven days. The recovery is driven by renewed interest in meme coins and speculation surrounding the potential approval of a Dogecoin spot Exchange-Traded Fund (ETF) by 2025.

The market capitalization of Dogecoin now stands at approximately $23.6 billion, ranking it ninth globally. The 24-hour trading volume exceeds $1.53 billion, indicating elevated liquidity and short-term momentum. This momentum is fueled by optimism around the possibility of a spot DOGE ETF being approved in the near future. Analysts have placed the odds of approval at 70–90% by the end of 2025, a development that could bring further institutional capital into the DOGE market.

Supporting this narrative is Grayscale’s Dogecoin Trust, which launched earlier this year and continues to signal mainstream investment interest in the meme-inspired cryptocurrency. From a technical perspective, DOGE recently retested and bounced off its 100-day Simple Moving Average, which had acted as dynamic support throughout the last three months. The strong bounce seen today is being interpreted as a relief rally from oversold levels after falling more than 20% since mid-June. The Relative Strength Index (RSI) has recovered from sub-40 to above 52, signaling improving sentiment, though it’s not yet overbought.

The next resistance levels lie near $0.165 and $0.175, and a successful breakout above these zones could initiate a move toward $0.20 — a psychological and historical resistance area. Conversely, a breakdown below $0.15 would indicate weakness and could open a move back toward $0.135–$0.140. The potential approval of a Dogecoin ETF has been a hot topic among analysts and investors alike. The anticipation of such an approval has fueled optimism, leading to increased capital inflows. This optimism is not unfounded, as the approval of an ETF for a cryptocurrency like Dogecoin could provide a more accessible and regulated investment vehicle for institutional investors. This, in turn, could lead to a significant increase in the demand for Dogecoin, potentially driving its price higher.

The recent price recovery of Dogecoin highlights the volatile nature of the cryptocurrency market. The dramatic price swings experienced underscore the risks associated with investing in cryptocurrencies. However, the subsequent recovery also demonstrates the market's resilience and the potential for quick rebounds. This volatility is a double-edged sword, offering both significant risks and opportunities for investors. The renewed capital inflows into Dogecoin are a testament to the market's confidence in the potential approval of an ETF. This confidence is driven by the belief that an ETF would provide a more stable and regulated investment option, attracting a broader range of investors. The potential approval of a Dogecoin ETF could also pave the way for other cryptocurrencies to follow suit, further legitimizing the crypto market as a whole.

The recent price recovery of Dogecoin serves as a reminder of the market's sensitivity to regulatory developments and investor sentiment. The potential approval of a Dogecoin ETF has the power to significantly impact the cryptocurrency's price, as it would provide a more accessible and regulated investment vehicle. This, in turn, could attract a broader range of investors, potentially driving the price of Dogecoin higher. However, it is important for investors to remain cautious and conduct thorough research before making any investment decisions. The cryptocurrency market is highly volatile, and the potential for significant price swings is always present.