In a striking display of market momentum, Dogecoin (DOGE) has surged 38% in May, marking its strongest monthly performance this year. This surge is closely intertwined with the recent gains in Bitcoin and Ethereum, as traders eye a potential 180% rally that could see DOGE soar to $0.65 and even $1.
With a staggering $4.7 billion in trading volume over the past 24 hours, Dogecoin now ranks fifth among the top cryptocurrencies, excluding stablecoins, according to CoinGecko. This resurgence is fueled by a bullish MACD crossover and robust on-chain metrics, indicating a strong demand for the memecoin. Notably, the 90-day cumulative volume delta from CryptoQuant shows a “taker buyer dominant” trend, suggesting aggressive buying activity reminiscent of the last major DOGE rally in Q4 2024, where prices skyrocketed by 385%.
Further bolstering this optimistic outlook, the net unrealized profit/loss (NUPL) for long-term Dogecoin holders has crossed 0.5 for the first time since March 1, 2025. This indicates that most holders are currently in profit, fostering a sentiment of confidence that could deter selling and promote price stability.
Technical analysts are also chiming in, with Trader Tardigrade highlighting a favorable setup in the DOGE/BTC trading pair, reminiscent of previous bullish cycles. As Bitcoin continues its ascent, the correlation between DOGE and BTC—approximately 0.67 over the past three months—suggests that Bitcoin’s movements will significantly influence Dogecoin’s trajectory.
As the crypto landscape evolves, Dogecoin’s recent performance underscores the importance of market dynamics and trader sentiment, making it a noteworthy asset to watch in the coming weeks. However, as always, potential investors should tread carefully, conducting thorough research before diving into the volatile waters of cryptocurrency trading.
