Regulators Enable Dogecoin ETF, Shifting Crypto Mainstream

The first Dogecoin (DOGE) exchange-traded fund (ETF) is set to launch in the United States this Thursday, marking a pivotal moment in the evolution of cryptocurrency investment vehicles. The Rex-Osprey Doge ETF (DOJE) will be the first memecoin-based ETF in the U.S., following the successful introduction of Bitcoin and Ethereum ETFs in 2024. This development underscores growing institutional interest in alternative digital assets and reflects broader regulatory acceptance of cryptocurrencies within traditional financial frameworks .

Dogecoin’s price has surged to approximately $0.24, representing a 13% increase over the past week and a 1.3% rise in the last 24 hours. This upward momentum has pushed the token above critical resistance levels that had previously contained its price between $0.20 and $0.21 for much of September. The rise in price and trading volume suggests growing confidence among investors as the ETF’s launch approaches .

Technically, Dogecoin has broken through the $0.23 resistance level, which could signal a shift in market sentiment. The coin now faces a key near-term target at $0.25, and if it manages to stay above that threshold, it may continue toward the psychologically significant $0.30 level. This movement has also shifted the former resistance zone between $0.20 and $0.21 into a potential support level, offering a more favorable price environment for further bullish movement .

The Rex-Osprey Dogecoin ETF is governed under the Investment Company Act of 1940, distinguishing it from commodity-based crypto ETFs. This regulatory framework enables institutional investors to gain exposure to Dogecoin through a Cayman Islands subsidiary, allowing them to invest without directly holding the cryptocurrency. Eric Balchunas of Bloomberg ETFs noted that this structure highlights the unique nature of investing in memecoins, which lack inherent utility but have substantial speculative appeal .

Analysts have presented ambitious price projections for Dogecoin, with Telegaon forecasting a potential rise to $1.73 by 2026. This would represent a 620% increase from current levels and exceed Dogecoin’s previous all-time high of $0.73 in May 2021. Such a scenario would mirror the token’s historic 29,000% surge between 2020 and 2021, which was fueled by Elon Musk’s endorsements and media attention. However, analysts caution that achieving these lofty targets will require more than just the ETF launch—it will depend on broader market conditions and continued investor interest .