This is probably why Dogecoin as one of the most famous meme coins, may see an upside sentiment in December because of the widely-discussed “Santa Claus rally”. This has been prevalent in the stock market and refers to a last five trading day of December and the first two days of January. Traditional investors in the crypto space are growing more interested in something similar in the world of digital currencies.
Traditionally, using SANTA, positive results have been achieved at 76% on average this has surpassed typical trends. But again, such events are not clearly reflected in the historical performance of DOGE, so the fact that Dogecoin has shown encouraging performances in previous Decembers is reason to be hopeful.
Dogecoin’s December Volatility: Highs and Lows Over the Years
Just to remind, December has been volatile for Dogecoin going from January highs to the lows before month-end. The cryptocurrency touched new heights in December 2017 with a month on month appreciation of 337.5% which was one of the best performances ever. A much higher percentage increase was in December 2020 at 32.4% and in 2018, the rates were up by a small 7.87%. However, bearish implications are not very rare. In the same period of last year, Dogecoin plunged a staggering 34.7%.
Peculiarly, the situation seen in November of the current year may be repeated in December in case of Dogecoin. In the previous month, the much used and traded coin posted a fabulous value increase of 161.5% to cause the bullish effect. Compared to its historic highs, it sells at 75% discount at $0.42; however, experts think that by December, the price difference could be much closer.
For Dogecoin enthusiasts, the question remains: will the meme coin be an exception and provide the holiday feel? A combination of past trends and early December increases also mean that the bulls are not completely out of the question.
While traders stay glued to their screens, there is no doubt that space through which Dogecoin is now placed as a crypto asset to be on a lookout this holiday season. While it is still unclear if DOGE will find its place in Santa Claus rally’s sleigh, the holiday spirit has definitely started among the cryptos.
