Dogecoin (DOGE) has experienced a significant rally this week, surging nearly 20% to reach approximately $0.25—its highest level since mid-August. This upward momentum is primarily driven by two key factors: substantial institutional accumulation and heightened anticipation for a US-listed Dogecoin ETF.
Institutional buying has played a pivotal role, with CleanCore Solutions increasing its Dogecoin holdings to over 500 million DOGE, valued at more than $125 million. The company aims to reach a treasury target of 1 billion DOGE and has successfully closed a $175 million private placement to fund further acquisitions. CleanCore's partnership with the Dogecoin Foundation's commercial arm, House of Doe, aims to position DOGE as a reserve asset and expand its use in payments, tokenization, and staking products.
Meanwhile, the launch of the Rex-Osprey Dogecoin ETF (DOJE), initially expected on September 12, has been delayed but is now anticipated around the middle of next week (likely Thursday). Approved under the Investment Company Act of 1940—a framework typically used for mutual funds—this ETF differs from spot Bitcoin ETFs as it does not hold DOGE directly. Instead, it relies on a Cayman Islands-based subsidiary and derivatives, a structure necessitated by the 1940 Act's diversification requirements.
Bloomberg Senior ETF Analyst Eric Balchunas noted that while the ETF's impact may be "minimal" initially due to its structure and the fact that most DOGE enthusiasts already hold the asset directly, he expects four to five Dogecoin ETFs to launch by October or November, which could collectively "move the needle." Prediction markets currently reflect a 66.6% probability that Dogecoin will reach $0.30 in the near term.