TLDR
- Dogecoin price increased 4% following Elon Musk’s social media post
- Musk referenced “Department Of Government Efficiency” (DOGE) in his post
- Michael Saylor responded with “Banish, Tedious, Complexity” (BTC)
- Dogecoin trading volume decreased 10% despite price increase
- DOGE price approaching $0.101 but still below 200-day EMA at $0.107
Dogecoin, the popular meme-inspired cryptocurrency, experienced a 4% price increase on Thursday following a social media post by tech entrepreneur Elon Musk.
The Tesla and SpaceX CEO, known for his long-standing support of Dogecoin, cleverly referenced the cryptocurrency in a post about government efficiency.
Musk’s post on X (formerly Twitter) addressed former President Donald Trump’s suggestion that Musk lead a government efficiency commission.
Department
Of
Government
Efficiency— Elon Musk (@elonmusk) September 12, 2024
Musk playfully abbreviated “Department Of Government Efficiency” as DOGE, sparking renewed interest in the cryptocurrency.
This latest social media interaction isn’t the first time Musk has influenced Dogecoin’s price. Earlier, a post featuring an image of Musk spelling out DOGE led to a price resurgence, pushing the token closer to the $0.10 mark.
In response to Musk’s post, Michael Saylor, a prominent Bitcoin supporter, replied with his own acronym: “Banish, Tedious, Complexity” (BTC). This exchange highlights the ongoing competition and banter between supporters of different cryptocurrencies.
Banish
Tedious
Complexity— Michael Saylor⚡️ (@saylor) September 12, 2024
Following Musk’s post, Dogecoin’s price approached $0.101, representing a nearly 4% increase over the past week and more than 2% in the last 24 hours.
However, the daily trading volume for Dogecoin hasn’t matched this upward trend. Data from CoinGecko shows a 24-hour trading volume of $508 million, a 10% decrease amid broader market uncertainty.
Despite the recent price bump, Dogecoin still faces some challenges. The token is trading just below its 200-day exponential moving average (EMA) at $0.107, which could act as a short-term resistance level for bullish investors if the current momentum continues.
Dogecoin has also experienced downward pressure in longer timeframes, with a nearly 4% decrease over the past month. This trend aligns with the struggles of major cryptocurrencies that have failed to regain higher price levels.
The current bearish market sentiment, combined with a lack of significant macroeconomic catalysts, has limited the potential for further price increases across the digital asset landscape. This broader context helps explain why Dogecoin’s price movement, while positive, remains relatively modest.
Traders and investors are closely watching key price levels for Dogecoin. The recent price action has brought the token closer to the psychologically important $0.10 mark, but breaking through and maintaining that level may require additional positive catalysts or a broader shift in market sentiment.
