Is Now a Good Time to Buy the Dip in Dogecoin?
Dogecoin's price is down 47% since highs witnessed in November.
Last year, mainstream cryptocurrencies such as Bitcoin and Ethereum generated returns far superior to those seen in the S&P 500 (SNPINDEX: ^GSPC) and Nasdaq Composite (NASDAQINDEX: ^IXIC). One of the main catalysts for these cryptocurrencies in 2024 was the presidential election. Then-candidate Donald Trump and many of his supporters consistently touted the benefits of cryptocurrency, and even hinted at building a strategic reserve of Bitcoin for the U.S. balance sheet.
Just to paint a picture of how much the election weighed on the crypto market, consider that the prices of Bitcoin and Ethereum rose 37% and 40%, respectively, between Election Day (Nov. 5) and Dec. 31.
And yet one crypto that trounced these behemoths was, of all things, Dogecoin (CRYPTO: DOGE). Despite its lack of utility compared to Bitcoin and Ethereum, the election results actually served as an ironic tailwind for Dogecoin's gains as well. It saw its price soar by 98% between Election Day and the end of the year.
