Dogecoin price could rally as Elon Musk attempts to pump the meme coin, again
- Twitter recently announced a creator subscription program, and Elon Musk jumped to subscribe to the Dogecoin founder.
- Dogecoin price has been significantly swayed following Elon Musk's remarks in the past.
- Twitter launching crypto and stocks trading on the platform could be a trigger for the alt season.
Dogecoin price has long benefitted from its long-time affiliation with Elon Musk. The Twitter owner's interest in the meme coin is widely known and criticized by the community as it has also been alleged as potential price manipulation. But this time, the crypto community might see through Musk's attempt at inflating DOGE.
Dogecoin price prepares for a journey
Elon Musk has been advocating the use of Dogecoin for years and has even deemed it as a potential currency. He has also made some contributions to making this happen by promoting payments through the meme coin by selling Tesla merch using DOGE.
The SpaceX founder's endorsement of the cryptocurrency even reached the point where in May 2021, he was alleged to be involved with the Dogecoin development since 2019. However, Musk refuted these claims a few months after stating neither he nor any of his peers were associated with DOGE's development.
Neither Jared, nor me, nor anyone I know has anything to do with this foundation
— Elon Musk (@elonmusk) October 24, 2021
While the truth remains a matter of hearsay, Elon Musk probably said so to protect his credibility in the community, as back in 2021, skepticism surrounding digital assets was still high.
But Elon Musk seems to be returning to his Dogecoin espousal, given some of his recent decisions regarding Twitter. The social media portal recently started a creator subscription program allowing users to deliver exclusive content to their audience in exchange for money. Not so surprisingly, Twitter's owner Elon Musk soon after subscribed to the founder of Dogecoin, Billy Markus, more famously known as Shibetoshi Nakamoto.
i don’t usually flex but today was a stressful day and i am giving myself a flex pic.twitter.com/s5SOC1JxDG
— Shibetoshi Nakamoto (@BillyM2k) April 13, 2023
Additionally, Twitter announced it would be enabling crypto and stock trading on the platform, which would act as a definite bullish scenario for the digital asset market. However, Elon Musk did bear some criticism following this announcement, not for the policy but for Twitter's enthusiastic plans and failure to execute them.
The company that struggled to standardize a subscription fees for 6 months will become a crypto enabled micro payments player — that too in partnership with eToro out of all the companies they could’ve worked with. While being in hot water with Apple already. Look forward to it! pic.twitter.com/FxACaVh1t5
— Satvik Sethi (@sxtvik) April 13, 2023
When it comes to Dogecoin price, Elon Musk's influence stands strong, and the meme coin could certainly observe some increase. The last time Musk majorly influenced DOGE price was in May 2021, as the meme coin shot up by 103% in a week ahead of the Tesla CEO's appearance on the TV show Saturday Night Live (SNL).
If DOGE was to chart a 103% rally now, the coin would land at $0.177 from its trading price of $0.087. However, the altcoin will not be noting another similar rally this time around, given the decline in meme coin hype, poor macroeconomic conditions and Bitcoin's rising dominance.
Twitter is set to bring crypto to the world
Twitter's announcement of launching crypto and stock trading on the platform would be a good opportunity for the crypto market to attract investors. Exchange Traded Funds (ETFs), NFTs, and advertisements only promote cryptocurrencies to a limited number of people. But Twitter would be the perfect medium to target a larger audience base as it has over 326 million monthly users.
Plus, it comes at just the right time as Federal Reserve, during the Federal Open Market Committee (FOMC) minutes, recently noted that it expects a recession this year, albeit mild. This could push crypto to mainstream investors as the Dollar continues to fall amid high inflation and recession fears.
According to its recent minutes, the #Fed no longer expects a soft landing, but a mild #recession. What makes the Fed think the recession will be mild? Normally the Fed doesn't forecast any type of recession. So if they can actually see this one coming, it likely will be massive.
— Peter Schiff (@PeterSchiff) April 12, 2023
Additionally, this move from Twitter could potentially trigger the long-awaited alt season, provided people look beyond Bitcoin, Ethereum and Dogecoin. BTC’s dominance at 48.33% might find some resistance from rising further if Twitter crypto trading takes off.
Author
Aaryamann Shrivastava
FXStreet
Aaryamann Shrivastava is a Cryptocurrency journalist and market analyst with over 1,000 articles under his name. Graduated with an Honours in Journalism, he has been part of the crypto industry for more than a year now.
