As December rolls in, meme coins are shaping up rather differently. Some are struggling with low inflows and dropping momentum, while others seem to hint at renewed buyer interest. These shifts in sentiment could quickly affect these tokens, particularly given the current volatility of the market.
Here, we concentrate on three notable tokens that are hitting significant levels, each bringing its own set of risks, signals, and possible catalysts.
Dogecoin (DOGE)
Dogecoin is certainly a meme coin to keep an eye on this month, entering December amid a mix of ETF buzz and lackluster performance.
In November, two DOGE-focused products launched: Grayscale’s ETP (GDOG) and Bitwise’s ETF (BWOW). Yet, inflows have been rather disappointing—Grayscale has only seen about $2.16 million while Bitwise is still at zero, suggesting demand isn’t quite there yet.
DOGE has seen a 9.4% price increase this week, buoyed by all the ETF talk, but the 30-day trend still shows a decline of over 20%.
When questioned about DOGE’s initial response to Grayscale’s ETP, NoOnes CEO Ray Youssef pointed out that what seems like resilience shouldn’t be interpreted as a fundamental shift.
He noted, “Dogecoin’s price reaction to Grayscale’s DOGE ETP appears to be more of an ETF headline reaction than a structural change to mainstream perception of the asset…It’s still too early to call there any change in institutional demand.”
The momentum is looking somewhat shaky. Between November 18th and 26th, prices formed lower highs while the RSI indicated higher highs, creating a hidden bearish divergence that usually signals continued downward movement. We might be looking at some monthly weakness here.
As we slide into December, DOGE must clear the $0.20 mark to bolster its position.
Youssef acknowledges that $0.20 is a feasible target, but he also cautions that DOGE remains tethered to the overall market dynamics.
“Dogecoin could definitely rally towards $0.20 by the end of the year, but the path to this range is narrowing…it is likely to remain a passenger in a market driven almost entirely by Bitcoin and Ethereum,” he cautioned.
If the price drops below $0.13, sellers may take full control, representing an 11% dip. December’s price action for Dogecoin will depend on whether resistance or support is established first.
Official Playing Cards (TRUMP)
Trump (TRUMP) starts December in a relatively weaker position compared to other meme coins. The token is down about 3% weekly and around 27% over the last month.
This downturn reveals TRUMP’s struggles despite minor rebounds in numerous other meme coins. Still, December might bring hope, as some key macro factors are currently in play, putting it on our radar.
Interestingly, President Trump is anticipated to appoint a new Federal Reserve chairman soon. Early signals hint at a dovish approach, which usually lifts riskier assets.
Moreover, Trump has called for income tax cuts, injecting more sentiment into the token he represents.
The charts suggest a potential shift. From November 25th to 27th, the TRUMP price dipped, with the CMF (Chaikin Money Flow) posting an even lower low. This indicates a bullish divergence and could signal better buyer momentum developing beneath the surface. The CMF has also broken above its downtrend line, raising hopes for a rebound.
For the rally to continue, TRUMP needs to reclaim the 0.618 Fibonacci level at $8.07. Clearing this threshold could set the stage for pushing past a major hurdle at $9.56.
On the downside, maintaining support at $5.66 is crucial. A close below that level may lead to further losses, potentially negating the bullish CMF signal. December will be a critical test for TRUMP, seeing if sentiment and the Fed’s announcements can steer it back up.
Pudgy Penguin (PENGU)
Pudgy Penguins (PENGU) remains a token on our watchlist after suffering one of the toughest monthly performances in the sector yet showing early signs of reversal.
PENGU is still down roughly 47.1% in November, but it did gain 7.6% last week, which could suggest a turning point is near.
Notably, on the 12-hour chart from November 4th to November 29th, both PENGU’s price and RSI hit lows. This reflects a bullish divergence signal often preceding a trend reversal. Early buyers are stepping in, although the higher time frames still look weak.
To truly gain strength this December, PENGU needs to reclaim the $0.014 level, which matches the 0.618 Fibonacci level. A solid breakout above this could permit testing recent highs near $0.016.
If it builds momentum, this could mark the first uplifting phase after weeks of declines.
However, losing support at $0.0098 would invalidate the bullish divergence and potentially push PENGU back into November’s weakness.
Despite the challenging monthly outlook, PENGU’s early reversal indicators make it a token to watch as December unfolds.
