Dogecoin Skyrockets 6.5% After Elon Musk's Latest X Post

London: 21 August 2024 (TraderMade): Dogecoin (DOGE), the leading meme coin by market capitalization, surged by 6.5% following a post by Tesla CEO Elon Musk on the platform X (formerly Twitter).

Musk's post, which referenced the meme coin, sparked excitement among investors and the Dogecoin community, causing a significant uptick in DOGE's price and market activity. This latest development has many analysts speculating about the possibility of a major breakout for the cryptocurrency.

Key Takeaways

• Elon Musk's post on X referencing Dogecoin spurred a 6.5% price surge, with trading volume soaring 50%.
• Analysts believe Dogecoin could lead a market rally, with a potential breakout on the horizon as investors remain bullish.

Elon Musk Excites the Dogecoin Community

In a recent X post, Musk responded to a political proposition made by former U.S. President Donald Trump, who suggested that he would consider offering Musk an advisory role or cabinet position if he won the upcoming election.

Trump praised Musk as a "brilliant guy" and said he would be open to bringing him into his administration. Musk's response, featuring an AI-generated image of himself at a podium with the words "Department Of Government Efficiency" and the abbreviation "D.O.G.E" on top, ignited a frenzy among crypto enthusiasts.

The Dogecoin community quickly saw the reference to their favorite token and shared their excitement, with many predicting that DOGE was "going to the moon" once again. This isn't the first time Musk, often referred to as the "Dogefather," has shown support for Dogecoin.

In previous posts, he has shared his fondness for the meme coin, often positioning it as a playful alternative to the traditional financial system.

Despite his light-hearted approach, Musk's influence on the cryptocurrency market is well-known, and his latest post has once again stirred up bullish sentiment among DOGE holders.

DOGE's Price Surges 6%

Following Musk's post, Dogecoin's price surged to $0.1056, representing a 6.5% increase in the last 24 hours. The memecoin's market activity also saw a substantial rise, with daily trading volume reaching $699.5 million, a 50% increase from the previous day.

DOGE had previously experienced a 9.3% recovery after a significant dip on August 5, and the recent surge has fueled speculation that a bullish move is on the horizon. Crypto traders are closely watching Dogecoin, with some suggesting that it could lead to a broader market rally.

Galaxy Trading, a prominent crypto trader, noted that DOGE often acts as a key signal for the entire crypto space and advised investors to keep an eye on the meme coin's performance.

Is a Breakout Imminent?

While DOGE's recent surge has reignited optimism among investors, some analysts believe that a full breakout may not occur until the entire cryptocurrency market gains momentum, possibly in the fourth quarter of the year.

Crypto analyst Kaleo pointed out that while Dogecoin has shown strength, it is still trading within a range, with potential resistance around the $0.111 level. Regardless of the timing, the Dogecoin community remains hopeful that Musk's continued support will help drive the token to new heights.

As always, the meme coin's future remains unpredictable, but for now, all eyes are on DOGE as it continues to capture the attention of both crypto enthusiasts and market watchers alike.