The crypto market is currently retreating from the highs made last week. With bitcoin slumping to $37K, dogecoin has not been spared, and the coin is in the process of erasing last week’s gains. With Elon Musk no longer publicizing dogecoin on Twitter, the buzz surrounding the token seems to be dying down, and so is its value.
Dogecoin is trading at $0.196 at the time of writing after a 1.2% decline.
Dogecoin price analysis
Dogecoin’s 24-hour trend shows the meme coin is headed towards a strong bearish momentum. Despite attempts to break past $0.20, it has been severally rejected and is now trying to maintain a high above $0.195.
If it manages to break past $0.199, the next strong resistance will be $0.218. This might be achieved during slight bullish spikes during intraday periods. However, dogecoin might fail to hold this level for long, especially if the current lack of support from the broader market continues. The lower support for dogecoin stands at $0.17. With volatility dying down, a further retreat below $0.17 may not be recorded, at least for the remainder of the week.
If a strong bullish momentum for dogecoin is created, we could see a rally beyond $0.25, which could open up the coin for new highs, especially if the hype surrounding DOGE resurfaces.
Dogecoin does not lack in use cases because of its popularity. Recently, a German luxury clothing store, Phillip Plein, announced that DOGE would be among the cryptocurrencies accepted by the store. Such adoption shows that dogecoin is still a favourite token among many.
eToro, in conjunction with the data aggregator site, The Tie, recently conducted research on the effects of Elon Musk’s tweets on dogecoin and bitcoin. The research indicated that Musk only had a bullish influence on dogecoin, but not bitcoin. The research compared the influence of Musk and Michael Saylor, MicroStrategy’s CEO, on bitcoin, where Saylor scored highly in influencing BTC bulls.
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