In a surprising turn of events, DOGE, the native cryptocurrency of Dogecoin, has recently witnessed a notable surge in its price across the crypto markets, igniting the interest of traders and enthusiasts alike.
As is often the case with Dogecoin-related price movements, the catalyst behind this uptick appears to be none other than Elon Musk, whose tweets and public endorsements consistently influence the cryptocurrency’s valuation.
The small boom in the price of the cryptocurrency DOGE (Dogecoin)
Just yesterday, the price of Dogecoin’s native cryptocurrency, DOGE, stood at approximately $0.145, showcasing a stable market through the early trading hours.
Throughout the day, the price climbed to an impressive $0.168 before stabilizing with a minor correction to the current valuation of $0.164.
Remarkably, just three days prior, DOGE was trading at a low of $0.13, making this rebound a significant development that cannot be overlooked.
While the recent surge is notable, it’s essential to consider that back in March, the cryptocurrency had peaked at $0.22, indicating that it still has substantial ground to cover concerning its earlier performance.
In a broader historical context, the all-time high of DOGE reached a staggering $0.73 in May 2021, illustrating a decrease of 77% from that lofty figure, underscoring the volatility associated with this memecoin.
Since April, the asset experienced a persistent downward correction that saw it plummet below the $0.10 mark by September, reflecting a phase of significant losses and market instability.
Moreover, it’s vital to mention that prior to the bullish sentiment in February, DOGE was struggling below the $0.10 threshold, indicating a challenging year for the cryptocurrency.
In October, however, DOGE has started to regain some lost value, suggesting that market sentiment is beginning to shift positively.
The influence of Elon Musk on the price of the cryptocurrency Dogecoin (DOGE)
Technically speaking, Dogecoin operates as a memecoin without concrete practical applications at this time; its creation dates back nearly a decade ago when it was launched primarily as a lighthearted alternative to Bitcoin.
Despite being a longstanding entity in the crypto sphere, the project has seen minimal real development over the years, which raises questions about its longevity and utility.
Elon Musk has championed Dogecoin for approximately three years, creating a passionate following, yet the foundational aspects of the cryptocurrency have remained stagnant.
Currently, the most viable function for DOGE appears to be as a means of payment, but without a deflationary model like Bitcoin, it remains inflationary in nature.
Shockingly, up until 2020, DOGE’s price had barely crossed $0.02; however, between January and February 2021, it soared to approximately $0.07, largely due to Musk’s enthusiastic advocacy, resulting in a substantial surge that catapulted its value tenfold over the subsequent months.
This meteoric rise was short-lived as the memecoin narrative led to a pronounced correction, demonstrating the fickleness of such investments, despite Musk’s continued support through social media.
During the following bear market phase, DOGE saw its price dip below $0.06, marking a troubling downturn from its previous peak in early 2021.
Nonetheless, the price started to awaken with the resurgence of the crypto bull market in October last year, continuing through the momentum until March of this year.
The rise of yesterday
Recently, Elon Musk has once again turned his promotional efforts toward DOGE, reigniting interest within the community.
Musk’s political aspirations have taken shape as he lends his support to Donald Trump’s campaign for the upcoming elections scheduled for next Tuesday, wherein he has been suggested as a potential leader of a proposed government unit aimed at reducing state expenses in the U.S.
This envisioned unit, which Musk has playfully called D.O.G.E – short for Department Of Government Efficiency – has been touted on his official X profile, generating further buzz around DOGE.
The increasing probability of Trump’s success in the upcoming elections propels the likelihood that Musk’s D.O.G.E. initiative could realistically take form, creating a synergistic effect on DOGE’s price as investors remain hopeful.
In particular, Musk’s renewed promotion of this concept comes at a time when positive sentiment is fueling the crypto markets, resulting in that minor but impactful surge in Dogecoin’s value.
As of today, DOGE has achieved a remarkable +15% increase compared to seven days ago and an impressive +30% rise over the past month, although it still lingers far below both its all-time peak and annual highs for 2024.
The trading volumes on DOGE
Of particular note, the trading volume of DOGE has surged by an astonishing 95%, indicating a robust resurgence of interest within the cryptocurrency market for this tradable asset.
The trajectory of Dogecoin’s success seems closely intertwined with Musk’s ability to effectively promote it, especially given his ownership of the X platform, which raises intriguing possibilities for future integration of DOGE as a payment method within the social network.
Currently, the psychological barrier of surpassing $0.20 stands as a noteworthy target for DOGE, and fulfilling this threshold is contingent on Musk’s influence in the days leading up to the election results.
As the results are expected to unfold between Wednesday and Thursday of next week, Musk’s continued engagement could propel this milestone within reach, especially if a bullish wave sweeps through the crypto market post-elections, unlocking even greater potential for DOGE to exceed its March price of $0.22.
