DOGE Price Prediction: Dogecoin fails to attract the bulls even after a tweet from Elon Musk

  • DOGE price prediction shows Dogecoin has failed to attract any bullish outlook even after Tesla’s founder and CEO tweeted about the crypto coin.
  • DOGE price has recorded a 20 percent dip since the tweet from Elon.
  • On-Chain metrics show Dogecoin is on the verge of plummeting if it fails to stay afloat crucial support levels.
  • Dogecoin’s network growth is slowly fading away.

On 1 April, Dogecoin managed to record an impressive 30 percent price surge following Tesla’s CEO, Elon Musk, tweet about SpaceX taking Dogecoin to the moon. Despite the frenzy caused, the hype did not last for long as all gains were lost within 48 hours.

DOGE Price Prediction: General price overview

Of late, the DOGE market appears to have become immune to celebrity and social media trends. This is evident with the latest Elon Musk tweet about the crypto asset. Unlike other tweets, the newest post failed to attract any momentum towards Dogecoin. Dogecoin enjoys support from several celebrities, including Mark Cuban, Mia Khalifa, Gene Simmons, Elon Musk, and Snoop Dog, among many others. Although celebrities’ usage offers terrific and free advertisement, they only carry as much weight in the crypto market.

DOGE price movement in the past 24 hours

DOGE Price Prediction: Dogecoin fails to attract the bulls even after a tweet from Elon Musk 1
Source: TradingView

The beginning of trading today saw DOGE exchanging at around $0.056. Later in the afternoon, the crypto asset managed to surge upwards towards the $0.087 region, marking a 55 percent price increment within the past 24-hours. The afternoon surge was so significant that it bypassed its former all-time milestone of $0.078 recorded in late March 2021. According to DOGE’s yearly rate, the crypto coin has recorded an impressive 1,380 percent price increment, making it one of the best performers in the crypto market. Earlier this year, DOGE was the 11th most valuable digital asset in the market, but it jumped places to land at the current 7th position, according to coinmarketcap.com.

DOGE 4-hour chart

DOGE Price Prediction: Dogecoin fails to attract the bulls even after a tweet from Elon Musk 2
Source: TradingView

According to DOGE’s 4-hour chart, the crypto asset appears to have formed a strong support trendline that currently matches with the 50 Simple Moving Average (SMA) and the 100 Simple Moving Average (SMA) at $0.057. Due to this factor, the crypto token has to rest above this crucial mark to avoid a potential 10 percent price depreciation towards $0.05. In the event, Dogecoin reaches this point, it will not have any support level to rely on.

Additionally, the In/Out of the Money Around Price (IOMAP) model paints a similar picture. Whereby, Dogecoin’s most critical support levels lie between $0.054 and $0.058. Here, there are over 8 billion Dogecoins in volume. According to the IOMAP model, DOGE has tremendously frail support on the way downwards towards the $0.049 regions.

Moreover, the number of new investors investing in buying the crypto coin has decreased marginally in the past week. Despite the heavy endorsement from notable figures, Dogecoin’s new addresses are down by around 5 percent. This has led to the crypto coin recording multiple lower highs since early March. Nevertheless, Dogecoin needs to rally its bulls to rally behind it to ensure it does not slide downwards past the critical support line at$0.057. If DOGE manages this, it will likely record a significant surge towards its previous high at $0.059.

Conclusion

Elon Musk is not the first celebrity to endorse and show confidence towards Dogecoin. Other notable figures such as Michael Saylor from MicroStrategy and Rapper Snoop Dog have also expressed their interest and confidence in the coin. Although such endorsements are highly valuable, a new trend seems to be emerging. Celebrity endorsements and social media hype are not having any tangible effect on the price of cryptocurrencies.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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