Dogecoin (DOGE) Nosedives 6% as Meme Token Enters the Weekend in the Red

Dogecoin (DOGE), the world's largest memecoin by market cap, is on an apparent downtrend as the meme token plunged after the holiday cheer

Dogecoin (CRYPTO: DOGE) is down by more than 6% in the last 24 hours after a slight bump on Christmas Day, when tech titan Elon Musk posted about "Doge."

Usually, Musk's posts about his favorite meme token propels the coin's prices and most often than not, the uptrend is sustained for a few days.

However, it appears Dogecoin couldn't hold the line this time even with the Tesla CEO's post.

Dogecoin's plunge comes as the broader cryptocurrency space is also in the deep red. Many of the world's largest digital currencies are down, including leader Bitcoin, Ethereum, and other major altcoins.

In the last 24 hours, more than $7 million in Dogecoin has been liquidated, as per data from CoinGlass. Overall, the crypto market has bled more than $272 million in the past day.

The current downtrend across the broader spectrum has been taken negatively by many new crypto holders, but for long-term holders who have observed how the crypto market behaves for more than a decade, it's just a regular Christmas sale, an opportunity to buy low.

Dogecoin had been in a stellar run last month, after the United States elected Donald Trump as its next president. As soon as the president-elect confirmed that Musk will lead the Department of Government Efficiency (D.O.G.E) alongside pro-crypto entrepreneur and former presidential candidate Vivek Ramaswamy, the memecoin surged.

However, the world's most popular meme token's momentum was immediately cut short just days later after XRP hit $1 and flipped Dogecoin's market capitalization. Since then, DOGE has had a bumpy ride.

Still, long-time holders of the "dino" memecoin didn't lose hope, even when the token plunged ahead of the holidays, along with BTC and the rest of the crypto realm.

For many Dogecoin bulls and maximalists, DOGE has high chances of going parabolic in 2025. Some expect as high as a 1,200% pump in the coming year, especially when "altcoin season" finally begins.

Others believe the memecoin will hit $1 once Trump is inaugurated on Jan. 20, while others are more careful about their observations, especially those who don't think every crypto asset will repeat its history charts.