In the days of the Nebraska Territory, the city was a stop on the Pony Express and later along the transcontinental railroad.

Ogallala first was founded a terminus for cattle drives that traveled from Texas to the Union Pacific railhead located there.

[6] The city itself was not laid out until 1875 and not incorporated until 1884[7] The town's name comes from the Oglala Sioux tribe.

Ogallala has a dry humid subtropical climate (Köppen Cfa), bordering on cold semi-arid and a humid continental climate (Köppen Dfa) with an annual average precipitation of 20.40 in (518 mm).

Precipitation is greatest in the late spring and summer, with winter being the driest part of the year.

The 2020 United States census[14] counted 4,878 people, 2,300 households, and 1,082 families in Ogallala.

44.3% of households consisted of individuals and 20.5% had someone living alone who was 65 years of age or older.

34.1% of all households were made up of individuals, and 14.6% had someone living alone who was 65 years of age or older.

30.7% of all households were made up of individuals, and 14.7% had someone living alone who was 65 years of age or older.

The Ogallala post office contains an oil-on-canvas mural, titled Long Horns, painted in 1938 by Frank Mechau.

[17] Ogallala is served by the Ogallala Public School District[18] Intercity bus service to the city is provided by Burlington Trailways and Express Arrow.

[19][20] Within the city, Ogallala Public Transit provides dial-a-ride service.