Dogecoin (DOGE) might hit a new all-time high if it replicates the 2021 performance that saw it surge by 18,340% in five months.    

Dogecoin recently caught the attention of the broader crypto market following its tremendous rise above the $0.4 mark. Specifically, DOGE’s price spiked by 156% in one week, soaring from around $0.17 to $0.4359 between November 6 and 12.

The massive surge strengthened investors’ confidence in DOGE, as they speculate that the asset might repeat its 2021 rally in this bull run. 

Dogecoin Price If It Repeats 2021 Rally  

For context, Dogecoin stunned investors in 2021, soaring from a modest $0.0040 to an all-time high (ATH) of $0.7376 on May 8. This represents a staggering increase of 18,340% within the first five months of 2021. 

Amid Dogecoin’s recent rally, many investors are wondering how much DOGE would be worth if it replicates its 2021 performance this cycle. Achieving a similar growth rate of 18,340% before the end of this cycle would see the price of DOGE surge to an unprecedented level.

If Dogecoin is able to surge similarly to 2021 and repeat a potential surge of 18,340% from the current level, it will take its price to a whopping $69.03, marking a new ATH record for DOGE. This would positively impact Dogecoin’s market cap, boosting it to $10.12 trillion from the current $54.88 billion, potentially making DOGE the most valuable cryptocurrency in the world. 

At a price of $69.03, a portfolio of 14,486.5 DOGE, currently worth about $5,424, would be valued at $1 million. 

Key Factors to Consider 

While it remains uncertain whether Dogecoin will experience a surge of 18,340% as it did in 2021, it is important to note that three major factors contributed to DOGE’s jaw-dropping rally three years ago. 

Elon Musk Effect 

At the top of the list is the Elon Musk effect. Musk played a significant role in Dogecoin’s 2021 rise. His endorsement of the token on X paved the way for the 18,340% rally. 

Interestingly, Musk still has the capacity to drive Dogecoin’s price, as seen over the past week when DOGE surged by 156% due to his continuous mention of D.O.G.E (Department of Government Efficiency) on X. It is worth mentioning that U.S. President-Elect Donald Trump recently appointed Musk to head the new federal agency. 

Massive Retail Interest 

Elon Musk’s endorsement of Dogecoin in 2021 attracted the interest of retail investors, leading to an 18,340% rally. As Musk continues to mention the D.O.G.E agency on X, most retail investors would likely see it as an opportunity to acquire DOGE, potentially positioning the asset for a repeat of its 2021 rally. 

Bull Market 

Another factor that contributed to Dogecoin’s 18,340% rise in 2021 was the timing of the surge, which coincided with the 2021 bull market. 

At the time, several cryptocurrencies, including Ethereum (ETH) and Cardano (ADA), reached new ATHs. Notably, DOGE also benefited from the bull market, leading to its surge to an ATH. Currently, the market is in the second phase of the bull run, which is expected to linger till next year.