The cryptocurrency sector has remarkably outpaced the traditional financial world, leading to a significant surge in the mainstream acceptance of altcoin projects. Recent developments have seen an influx of support from US leaders who are friendly to crypto, fundamentally altering the perception of digital assets, particularly among institutional investors. This transformation has been especially pronounced in the last few weeks, marking a pivotal shift in the financial landscape.
Altcoin ETF Filings Gain Momentum
In a strategic move, an increasing number of investment fund managers have been filing for spot altcoin ETFs, including those for Solana, XRP, and Litecoin, with the US Securities and Exchange Commission (SEC). This trend is anticipated to continue, with more funds likely to venture into the burgeoning web3 industry, riding the wave of the ongoing macro crypto bull market.
When Will Dogecoin Spot ETF Emerge?
Dogecoin (DOGE) continues to be a formidable leader in the memecoin arena, largely due to the steadfast backing from tech mogul Elon Musk. The Dogecoin network, which utilizes the robust proof-of-work consensus mechanism, boasts an impressive community of over 5.9 million on-chain holders. Despite this, no pro-crypto investment fund managers have yet filed for a spot Dogecoin ETF with the SEC.
According to Eric Balchunas, a senior ETF analyst at Bloomberg, the inauguration of U.S. president-elect Donald Trump might pave the way for investment fund managers to submit filings for a spot Dogecoin ETF. Furthermore, the appointment of Paul Atkins as the US SEC chair could significantly enhance the prospects for crypto ETF approvals. Balchunas notes, “If I’m Vegas, my favorite on reserver of $DOGE ticker is Venuto. That said, Tuttle is my favorite to file for the ETF.”
Whales on a Buying Spree
Recent on-chain data analysis by Santiment reveals that crypto whales have acquired 250 million Dogecoins, valued at over $77 million, during a recent market downturn. Consequently, Dogecoin whales holding between 1 million and 10 million units now possess over 10.7 billion DOGE units, which constitutes nearly 1 percent of the total circulating supply. This strategic accumulation underscores the strong belief in Dogecoin’s potential among large-scale investors.
Midterm Targets for Dogecoin
The price of Dogecoin has been navigating a midterm correction phase following notable gains over the past two months. As a significant player in the memecoin sector, Dogecoin boasts a fully diluted valuation of approximately $47 billion and experiences a daily average trading volume of around $5 billion. Currently, the price is testing the support level near the 0.5 daily Fibonacci Retracement, hinting at the possibility of a substantial rebound in the near future.
On a weekly timeframe, Dogecoin’s price is eyeing an all-time high, driven by the Relative Strength Index (RSI) surpassing the 85 percent mark for the first time since mid-2021. This bullish momentum positions Dogecoin as a strong contender for continued growth in the cryptocurrency market.
