History Shows That Dogecoin May Be About to Make a Big Move. Is Now the Time to Buy?

One of the more interesting case studies in the cryptocurrency field over the past year is Dogecoin (CRYPTO: DOGE). In 2024, the price of Dogecoin surged by 251% -- significantly outperforming the S\u0026P 500, Nasdaq Composite, and the most popular name in the cryptocurrency field, Bitcoin. Unfortunately, 2025 is not a good year for Dogecoin like last year. As of April 21, the price of Dogecoin has dropped 50% this year. According to historical trends, the current price movement of Dogecoin suggests that a significant move may be imminent. Looking at the historical patterns of Dogecoin The chart below illustrates the price of Dogecoin over the past five years. With the trend below, it is clear that Dogecoin is a volatile asset. Although its price has increased quite a bit, I also notice another detail.

Specifically, the price of Dogecoin tends to hit a low of around $0.10. Overall, after that, the price starts to recover. But the recovery of Dogecoin is always fleeting. Therefore, history shows that the price could soon rise with the current level around $0.15. But I think it may not happen that way from now on. Why do I think this time could be different I have been closely following Dogecoin for the past few months. The biggest lesson I have learned from the price volatility of this cryptocurrency is that it has a correlation with the results of the presidential election. Back in November, the price of Dogecoin surged after Donald Trump's victory. But why? Yes, he created a program called the Government Efficiency Program (DOGE), aimed at cutting spending in the federal budget. Tesla CEO Elon Musk is leading this effort. For years, Musk has seemingly favored Dogecoin -- often posting memes about it on social media, which some new investors might see as an endorsement from the billionaire entrepreneur.

With the advent of DOGE and Musk's involvement in this program, some investors may think that Dogecoin will somehow be the beneficiary. Although I personally think that idea was initially far-fetched, Musk himself has confirmed that the U.S. government "has no plans" to use Dogecoin in any capacity that he knows of. The price of Dogecoin has been declining for a while. And with Musk's recent comments, I think the sell-off will continue and Dogecoin will keep sliding down. Dogecoin is entertaining, but serious investment should be avoided. Ultimately, Dogecoin is an entertainment asset, but it is a meme coin without any real utility, not something that serious investors should consider. In my opinion, any money made from Dogecoin depends on two factors: timing and luck. Even if the price of Dogecoin starts to rise higher, the increase itself may only be temporary. I don't think Dogecoin should have a place in the portfolio of a long-term investor due to its speculative nature and unpredictability.