Dogecoin Climbs to $0.24 as Fed Signals Possible Rate Cut

• Dogecoin surged 16% Friday as the market reacted to Powell's statement on a potential rate cut and shifting economic risk.
• 24-hour trading volume climbed 165% to $5.42 billion, placing Dogecoin eighth by market capitalization at $35.52 billion.
• Analysts project a possible 40% breakout if Dogecoin maintains momentum above its 50-day simple moving average of $0.218.

Dogecoin experienced a significant price jump heading into the weekend, aligning with a broader market rally that followed the Federal Reserve’s latest policy comments. On Friday, the cryptocurrency climbed from $0.208 to $0.242, a sharp intraday rise that mirrored movements across major digital assets and equity markets. The price lift came after Federal Reserve Chair Jerome Powell’s remarks at the Jackson Hole symposium, where he acknowledged a possible need to shift the current monetary stance.

Powell's statement about a "shifting balance of risks" fueled speculation that the central bank could begin cutting interest rates as early as September. This sentiment sparked renewed investor interest in risk assets, including cryptocurrencies. As a result, Ethereum reached a new all-time high not seen since 2021. Meanwhile, Dogecoin sustained most of its gains, trading at $0.235 at press time, marking an 11.17% daily increase and a 3% weekly gain.

Trading Volume and Market Capitalization Jump

Dogecoin’s trading activity intensified, with its 24-hour volume rising by 165% to $5.42 billion. This surge in interest pushed Dogecoin back into the eighth position among cryptocurrencies by market capitalization, surpassing Tron. Its current market cap stands at $35.52 billion. The sharp uptick in volume and price reflects renewed enthusiasm among traders as they position for further volatility.

According to market analysts, Dogecoin is consolidating within a technical triangle pattern that could result in a 40% upward breakout. The asset has now clearly moved above its 50-day simple moving average of $0.218. Analysts suggest that turning this level into a support base could open the door for Dogecoin to target $0.26 and $0.29 in the near term. If bullish momentum continues and the coin exits its broader range of $0.14 to $0.26, it could attempt higher resistance levels around $0.4 and $0.48.