Dogecoin (DOGE) Is 'Strategically Positioned' Amid US Election Results, Analyst Says

Dogecoin (DOGE) remains the most “strategically positioned” cryptocurrency with respect to the US presidential elections, says Master Kenobi.

Cryptocurrency markets have been buzzing with anticipation ahead of the US presidential election results, and Dogecoin (DOGE) has emerged as a standout performer with an impressive 12% gain over the past 24 hours. Among the top crypto assets, DOGE has shown the most promising price action, while Bitcoin (BTC) and Ether (ETH) remained relatively flat.

As the election results trickle in, traders are closely monitoring the markets, with many expecting a Republican party victory to be favorable for risk-on assets like cryptocurrencies.

Dogecoin price might surge another 30% within hours if Trump wins

Master Kenobi, an independent crypto analyst, highlighted DOGE's strategic positioning in the market. According to the trader's analysis, a Trump victory could lead to another 30% surge in DOGE within hours.

However, it's crucial to note that this analysis is based on technical factors and does not constitute financial advice.

According to the trader's analysis, a Trump victory would benefit DOGE due to its strong technical setup on the weekly chart. The cryptocurrency has been oscillating within an ascending channel since early 2017, with its price repeatedly bottoming near the lower band (blue line) post-BTC halving.

This is usually followed by a parabolic price rally to the upper band (red line), indicating overvalued territory. Kenobi's analysis suggests that DOGE is currently positioned for another leg up within this channel.

Master Kenobi's Dogecoin 1-week analysis since 2017. Source: X.com

Based on this technical setup, the analyst's long-term price target for DOGE is around $11 in 2025, which would mark a 6,447% return on investment from its current value.

However, it's essential to note that this target is up for debate and might not align with everyone's analysis.

New DOGE addresses spiked by 100% in late October

Elon Musk's personal affiliation with DOGE is also evident in his recent proposal to establish a “Department of Government Efficiency” to reduce government bloat and save taxpayers money. The agency initials form D.O.G.E, replicating the crypto asset's ticker.

This might have contributed to improving onchain metrics, as data from IntoTheBlock indicates a 100% increase in new DOGE addresses, rising to nearly 48,000 toward the end of October.

Dogecoin new addresses. Source: X.com

According to the blockchain data provider, new addresses reached their highest level since March 2021. The rise in new addresses is likely linked to new investors allocating their funds toward DOGE in the lead-up to the US election results.

Being a highly centralized cryptocurrency, such news events can quickly impact DOGE's price and onchain activity. A victory for Trump could trigger a domino effect, positively impacting Musk's standing and potentially leading to a short-term DOGE rally.

From a technical perspective, DOGE's daily chart is already beginning to “price in” a Trump victory. The memecoin outperformed BTC and ETH in November and is now approaching its overhead resistance range.

DOGE price might rally 35% if it closes above $0.174 on the daily chart. Source: TradingView

A daily close above $0.174 (the upper limit of resistance) would clear DOGE's path to a 35% hike toward $0.23, which is close to its yearly high.

Meanwhile, Mikybull Crypto, a trader and economist, highlighted that DOGE is about to complete a golden cross on the weekly chart for the first time since 2020.

A golden cross is a bullish technical pattern that occurs when the short-term moving average crosses above the long-term moving average. As observed in the chart, a similar signal in November 2020 triggered a 20,000% return on investment within May 2021, where DOGE reached an all-time high of $0.74.

Dogecoin golden cross analysis by Mikybull. Source: X.com