21Shares has announced the launch of the first spot DOGE Exchange-Traded Fund (ETF) backed by the Dogecoin Foundation, aiming to offer investors regulated, physically backed access to the largest memecoin by market capitalization.
Related Reading
Dogecoin Goes From Memecoin To Wall Street
On Wednesday, financial services company 21Shares announced the launch of its 21Shares Dogecoin ETF (TDOG) on Nasdaq to provide “a new way to gain physically-backed DOGE exposure in traditional portfolios.”
According to the announcement, the firm’s DOGE ETF is the only investment product of its category to be officially endorsed by the Dogecoin Foundation, the nonprofit organization dedicated to supporting the ecosystem’s development.
Notably, two other spot DOGE ETFs are live: Grayscale’s GDOG and Bitwise’s BWOW. As reported by NewsBTC, the funds debuted in late November, becoming the first DOGE ETFs in the US market.
TDOG’s launch builds on 21Shares’ collaboration with the House of Doge, the corporate arm of the foundation supporting the ecosystem, to create new opportunities across the Dogecoin ecosystem.
The newly launched product will offer investors direct exposure to DOGE through a fully backed, transparent, and exchange-traded vehicle, holding the asset on a 1:1 basis in institutional-grade custody.
Regarding its decision to launch a DOGE ETF, 21Shares affirmed that the memecoin “captures the spirit of internet culture and continues to evolve in our digital economy.” Moreover, the firm argued that it has “helped onboard many new users to crypto, and for many people, this may serve as their first step into crypto.”
Federico Brokate, 21Shares’s Global Head of Business Development, stated that “Dogecoin is a unique asset with a global community and expanding real-world use cases,” adding that “TDOG offers investors regulated, physically backed exposure to DOGE through an ETF structure they already understand and trust.”
DOGE Prepares For New Rally
Analyst Bitcoinsensus suggested that the leading memecoin “could be on for a massive rally to the upside” based on its performance throughout this cycle. The market watcher explained that the cryptocurrency has been experiencing “mini cycles” since 2023, which have led to “bigger and bigger rallies.”
According to the chart, after its late 2022 pump, Dogecoin consolidated within a tight range before a 190% breakout in early 2024. Similarly, the memecoin repeated the same pattern throughout 2024, accumulating for months before a 480% breakout at the end of that year.
Now, DOGE has been consolidating within the $0.125-$0.280 price range for nearly a year, leading the analyst to believe that a breakout towards a higher target near the $0.750 level is possible.
Meanwhile, Trader Tardigrade also suggested that Dogecoin may be preparing for a massive breakout as it appears to be following its performance between late 2022 and 2024.
Related Reading
At the time, the cryptocurrency had apparently bottomed out but ultimately recorded another local low before reversing. Based on this, the analyst affirmed that the memecoin “might see a slightly lower low” in the coming weeks, before the next massive surge occurs.
As of this writing, Dogecoin is trading at $0.1249, a 1.75% decline in the daily timeframe.
Featured Image from Unsplash.com, Chart from TradingView.com