{"id":10142,"date":"2025-01-28T18:32:13","date_gmt":"2025-01-28T18:32:13","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=10142"},"modified":"2025-01-28T18:32:13","modified_gmt":"2025-01-28T18:32:13","slug":"dogecoin-and-the-fomc-heres-what-will-happen-to-price-if-the-announcement-is-favorable-like-2021","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=10142","title":{"rendered":"Dogecoin And The FOMC: Here\u2019s What Will Happen To Price If The Announcement Is Favorable Like 2021"},"content":{"rendered":"
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As the Federal Open Market Committee (FOMC) <\/a>meeting approaches, analysts closely watch the Dogecoin price movements<\/a>, drawing parallels to its explosive rally in 2021. Historical trends suggest a favorable FOMC announcement could significantly impact the Dogecoin price, potentially triggering a rally.\u00a0<\/p>\n

Dogecoin Price Rally Linked To FOMC Decision<\/h2>\n

Back in January 2021, the FOMC opted to keep rates unchanged, aiming to maintain ample liquidity in the United States (US) financial markets<\/a>. This decision triggered a massive shift in Dogecoin, with the meme\u2019s price skyrocketing the next day.<\/p>\n

A crypto analyst, ChandlerCharts, recently shared<\/a> an analysis of the FOMC\u2019s influence on Dogecoin\u2019s future performance. Comparing two parallel charts, the analyst drew striking similarities between the Dogecoin price action in January 2021 and 2025, both of which coincided with scheduled FOMC meetings.\u00a0<\/a><\/p>\n

The left chart shows that in January 2021, Dogecoin experienced a massive rally, surging well above the 0.618 Fibonacci extension level at the $0.01 price point. At the time, the rally coincided with the FOMC meeting and the US Presidential inauguration<\/a>, with the Federal Reserve\u2019s rate announcement serving as a key catalyst to Dogecoin\u2019s upward momentum.<\/p>\n

\"Dogecoin\"<\/p>\n

Chandler illustrates Dogecoin\u2019s current price structure on the right chart, with a similar historically bullish pattern<\/a> unfolding. DOGE is hovering around the key 0.382 Fibonacci level at the $0.33 price point. This zone, acting as a support area, was previously a launchpad for the Dogecoin price rally<\/a> after the FOMC announcement in 2021.\u00a0<\/p>\n

DOGE is currently testing the $0.33 key support level<\/a>, just like it did in 2021. Its current price action leading up to January 2025 mirrors historical patterns, highlighting a significant rally above the 0.618 Fib, a peak at the 1.0 Fibonacci level, and a subsequent retracement to the 0.236 Fib.\u00a0<\/p>\n

If history repeats itself and the upcoming FOMC on January 28 to 29 favors liquidity as it did in 2021, Chandler predicts that Dogecoin could skyrocket to $0.5, corresponding to the 0.618 Fibonacci level. The analyst also forecasts that similar market conditions could trigger a stronger rally to the $0.7 market peak at the 1.0 Fibonacci level.\u00a0<\/p>\n

Based on this bullish forecast, Chandler warns investors and traders to \u201cbrace themselves\u201d as volatility is expected to rise<\/a> leading up to the FOMC announcement. While history doesn\u2019t always determine future market movements, the similarities in market sentiment and liquidity conditions from a favorable rate decision make this a pivotal moment for the DOGE price.\u00a0<\/p>\n

Bearish Or Bullish? Upcoming FOMC Meeting Sets The Tone<\/h2>\n

Historically, the FOMC meeting held eight times a year tends to influence the crypto market<\/a>, as it offers insights into the FED\u2019s monetary policy decision. Commenting<\/a> on this, Daitaro, a crypto analyst on X, revealed that the crypto market often displays bearish or bullish sentiment leading up to the FOMC meetings.<\/p>\n

Following the FOMC\u2019s rate announcement<\/a>, real price action occurs, leading to either a pump or dump in top cryptocurrencies like Bitcoin and Dogecoin, among others. With the FOMC meeting set for today and tomorrow, the market\u2019s reaction to a favorable or negative decision could significantly impact crypto prices.<\/p>\n

\"Dogecoin\"<\/div>\n","protected":false},"excerpt":{"rendered":"

As the Federal Open Market Committee (FOMC) meeting approaches, analysts closely watch the Dogecoin price movements, drawing parallels to its explosive rally in 2021. Historical trends suggest a favorable FOMC announcement could significantly impact the Dogecoin price, potentially triggering a rally.\u00a0 Dogecoin Price Rally Linked To FOMC Decision Back in January 2021, the FOMC opted […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-10142","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/10142","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10142"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/10142\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10142"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10142"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10142"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}