TRUMP and DOGE Prices Show Signs of Reversal After President’s Crypto Reserve Tweet

The combined market cap of meme coins is surging by 6.3% today as both Dogecoin (DOGE) and Official Trump (TRUMP) surged after President Trump tweeted about the preliminary list of assets that would make it to the U.S. national crypto reserve.

On Sunday morning, specifically mentioned XRP, Solana (SOL), Cardano (ADA), Bitcoin (BTC), and Ethereum (ETH) among the cryptocurrencies that would be included in this strategic stockpile.

The value of most digital assets, including meme coins, quickly surged in response to the President’s pad in the back to the sector.

DOGE has gone up 6.3% in the past 24 hours and currently stands at $0.2210, while TRUMP is up 12.5% during this same period. These two assets alone account for 59% of the entire meme coin segment, according to data from CoinMarketCap.

Trading volumes across the sector have also exploded by 196% in the past day and currently sit at $14.9 billion.

This uptick has raised the odds of a short-term trend reversal for both TRUMP and DOGE after several weeks of dramatic losses.

This weekend’s gains come at a great time for DOGE as the sell-off prompted by the Bybit hack last week pushed the price to its lowest level since November 6 and nearly evaporated all of the token’s post-election gains.

DOGE Could Surge by 36% if This Support Level Holds

Trading volumes for DOGE alone have gone up by 316% as investors rushed to pile into the top meme coin after Trump’s announcement.

DOGE’s latest price action has been a bit deceiving for traders as the token pulled a bull trap back in mid-February and then a bear trap on Friday when the token broke below its $0.205 horizontal support.

Trump may have saved DOGE from collapsing to the $0.1416 level. However, today’s session has evaporated a significant portion of yesterday’s gains, so traders should proceed with caution to avoid getting caught up in the hype.

Market sentiment is still heavily depressed as reflected by the Fear and Greed Index while DOGE has not managed to overturn its downtrend yet.

A break above the $0.2900 would be required to fully reverse the token’s downtrend. DOGE was not mentioned among the assets that would be included in the U.S. strategic stockpile. Hence, this announcement could have a limited impact on its price compared to XRP, SOL, or ADA.

For now, the Relative Strength Index (RSI) has sent a buy signal as it crossed above the signal line. Since the oscillator is emerging from oversold territory, DOGE’s upside potential is quite high at this point and the risk-reward ratio is favorable as well.

Using DOGE’s most recent lower low as the stop price and the token’s February 14 lower high as the target, the risk-reward ratio for this trade stands at 1.7 for those who opt to take a long position.

TRUMP Struggles to Clear the $17.5 Level

TRUMP first surged near the $18 level on Thursday but retreated right after multiple failed attempts to climb above this threshold. This area acted as resistance during Sunday’s price action as traders rejected a move above it as well.

The hourly chart shows the steep declines that followed after the price moved near this marker. However, TRUMP has also made multiple consecutive higher lows, meaning that the asset is on an uptrend as buyers are willing to scoop it at higher prices whenever pullbacks occur.

The Relative Strength Index (RSI) seems poised to send a buy signal while the MACD’s histogram is also displaying steadily decreasing negative momentum readings. This means that TRUMP could retest the $17.5 level once again in the next few hours.

A bullish breakout could push TRUMP to the $20 area shortly afterward. However, another rejection would likely have catastrophic results in the near term as the market’s unwillingness to buy the asset above this level could prompt another sell-off.