Bitwise Files for Dogecoin ETF: What It Means for Investors & the Crypto Market

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Dogecoin is a highly community and social media-driven coin, a single tweet from Elon Musk can double its price, Trump’s meme craze has already boosted the meme coin sector. And on top of this Bitwise has officially filed an S-1 registration with the SEC for a Dogecoin exchange-traded fund (ETF), marking a major step in integrating meme coins into mainstream finance. This move has sparked excitement in the crypto market, as it signals increasing confidence in Dogecoin’s potential as a financial asset.

Dogecoin ETF Sparks Optimism

Bitwise’s s1-filing follows an earlier registration in Delaware, reinforcing its commitment to launching a Dogecoin ETF. Other firms, including Osprey Funds and Rex Shares, have also submitted proposals, highlighting the growing demand for a regulated investment vehicle for Dogecoin. However, the price dropped 4% following the news, which shows investors are not sure of memecoins due to unclear regulations. 

Yet, Dogecoin’s resurgence is linked to Trump’s pro-crypto administration. The creation of the Department of Government Efficiency under President Trump has fueled speculation about increased crypto adoption. Last week, Trump signed an executive order forming a working group to develop a federal regulatory framework for digital assets. He also appointed crypto-friendly Paul Atkins to lead the SEC, further signaling potential regulatory shifts in favor of digital assets. 

Dogecoin’s Market Position

Dogecoin is no more a joke, it currently trades at around $0.32, with a market cap of $47 billion. Bitwise CIO Matt Hougan emphasized the strong demand for Dogecoin investments, noting that it is the sixth-largest cryptocurrency and sees daily trading volumes exceeding $1 billion. 

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Despite a slight 0.8% decline in the past 24 hours, Dogecoin remains a popular choice among retail traders. Being a low-cap asset, the Dogecoin ETF could boost its credibility and drive institutional interest if approved. Crypto analyst Ali Martinez predicts that Dogecoin’s price could surge to $15 if the ETF gains approval. It will be a best buying opportunity as the prices are still below $1 and stacking this memecoin may give good returns as per the analyst. 

With the changing regulatory scene and political support for ETFs, the market may open to new heights in the coming months. Memecoins have gained attention since Trump and the First Lady launched their meme tokens, showcasing a strong interest in them. While the market is taking memes as a serious investment option many analysts warn of them going zero as they are of no real-world use and pose a threat of regulatory scrutiny.