Elon Musk loses his Midas touch as Dogecoin price grapples with $0.213


  • Dogecoin price is currently contemplating reclaiming the $0.213 supply barrier.
  • Elon Musk seems to have lost his sway over Dogecoin price as his tweets no longer affect the markets.
  • A minor retracement to $0.192 seems likely if DOGE fails to slice through the said resistance level.

Dogecoin price hovers below a crucial ceiling, a breach of which will allow the meme coin to propel itself higher. However, after a steady rally since July 20, a retracement seems likely. Therefore, investors can expect the leg-up that follows this correction to take a jab at the said supply barrier.

Elon Musk and his diminishing control over cryptocurrency markets

Elon Musk and his tweets on Dogecoin sent the cryptocurrency flying during the peak hype cycle of the recent bull run. At one point in time, Musk’s tweets also moved Bitcoin price. Of late, his tweets have had diminishing control and barely move the markets. This shift in trend seems to be becoming more apparent since July.

DOGE/USDT 12-hour chart

DOGE/USDT 12-hour chart

Of the five Dogecoin-related tweets Musk has tweeted over the past month, only one provided a relatively positive return.

Dogecoin price saw a 6.2% return on a 12-hour candlestick the day Musk tweeted about BTC, ETH and DOGE.

Perhaps the most crucial reason for Musk’s reduced control over the markets is the lack of hype or frenzy. As Bitcoin price continued to crash from May 19, most of the retail market participants took a hiatus, which can be seen even today.

Musk’s latest tweet on Dogecoin was posted roughly 21 hours ago and did not seem to correlate with the asset’s market value. 

However, the bullish nature of the cryptocurrency market right now might be playing a role in pushing the meme coin toward a critical resistance level.

Dogecoin price approaches inflection point

After rallying roughly 34% over the past six days, Dogecoin price is currently taking a jab at the $0.213 supply barrier. A breach of this level could be key in pushing DOGE higher.

Only a decisive 12-hour candlestick close above $0.213 will confirm a breach of the said ceiling. However, a failure to do so will lead to a retracement that will allow the buyers to recuperate and prepare for the next leg up.

The pullback is likely to find support on the July 19 swing high at $0.192, roughly a 10% downswing from the current price – $0.209.

Here, the bulls have a chance to take Dogecoin price on another rally that could solidify its breach of $0.213. Such a move will confirm the resurgence of buyers and open up the path for another 36% uptrend to $0.293.

DOGE/USDT 12-hour chart

DOGE/USDT 12-hour chart

On the other hand, if the rejection at $0.213 leads to a move beyond $0.192, it will indicate weakening buying pressure. In this case, Dogecoin price might likely extend the pullback another 11% to the July 17 swing low at $0.169.

While this provides the bulls a second chance at an upswing, a breakdown of $0.162 will invalidate the bullish outlook and, in some cases, lead to a 25% sell-off to the demand zone that extends from $0.119 to $0.145.

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

SafeMoon price looks to skyrocket 30% as technicals flash buy signal

A brief technical and on-chain analysis on SafeMoon price. Here, FXStreet's analysts evaluate where SAFEMOON could be heading next.

More Bitcoin news

Uniswap price eyes 20% gains as UNI technicals scream ‘buy'

Uniswap price faced a blockade at $21.51, slowing its recovery. The RSI reveals a bullish divergence in play, hinting at a 20% climb. A breakdown below $18.37 will invalidate the bullish thesis.

More Litecoin news

Litecoin contemplates 17% ascent after reclaiming crucial barrier

Litecoin price experienced the second flash crash, which bottomed on September 21. While the descent was steep, the recovery seems to be coming along well. The recent upswing has pushed past a key resistance level, but LTC needs to hold above it to confirm buyers’ presence.

More Litecoin News

XRP price flips massive support floor into formidable resistance

A brief technical and on-chain analysis on XRP price. Here, FXStreet's analysts evaluate how Ripple behaves as it trades below key resistance.

More Ripple news

BEST CRYPTO BROKERS/EXCHANGES



Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast

BTC

ETH

XRP