Elon Musk’s Latest Tweet Rescues Dogecoin from Price Crash: Here’s How
On September 7, 2024, Elon Musk once again made headlines in the cryptocurrency world by saving Dogecoin (DOGE) from a significant price crash. As Tesla’s CEO, Musk has long been known for influencing the price of Dogecoin with his tweets, and this time was no different.
Amid a bearish market and large-scale sell-offs by whales and institutions, Dogecoin experienced a sharp price decline, breaching its crucial support level of $0.094 and dropping to a low of $0.088. The overall cryptocurrency market was under pressure, and it seemed like DOGE was heading for a deeper decline.
However, Elon Musk stepped in with a tweet that turned things around. On X (formerly Twitter), Musk posted an AI-generated image of himself under the moniker “D.O.G.E.,” referencing the Department of Government Efficiency. The tweet quickly went viral, garnering attention from over 44 million users and receiving more than 500,000 likes within just 12 hours.
Thanks to Musk’s post, Dogecoin’s price rebounded significantly, climbing back above the crucial support level of $0.094. Experts noted that if Musk hadn’t intervened with his tweet, DOGE could have faced a steep 20% decline, potentially dropping to around $0.071.
Dogecoin Price Prediction:
Despite the current volatility, technical analysis suggests that DOGE may be on the verge of a trend reversal. The Relative Strength Index (RSI) has formed a bullish divergence on the daily chart, often signaling a potential shift from a downtrend to an uptrend. With DOGE holding its support at $0.094, experts predict that the coin could surge by as much as 20%, reaching the $0.113 level in the coming days.
However, caution is still advised, as the 200 Exponential Moving Average (EMA) indicates that Dogecoin remains in a downtrend. Traders should closely monitor price movements and key technical indicators for further signs of recovery.
Current Price Momentum:
At press time, DOGE is trading near $0.0948, marking a 4.5% price surge in the last 24 hours. However, trading volume has decreased by 23%, reflecting lower participation from traders as they navigate the volatile market conditions.
With Elon Musk’s influence once again playing a pivotal role in Dogecoin’s price, it remains to be seen whether the recovery can be sustained or if DOGE will face further challenges in the days ahead.