- DOGE and BTC declines impacted the broader crypto and meme coin markets.
- Elon Musk’s support for Dogecoin offered hope for future revivals.
Dogecoin [DOGE]known for its crazy origins, saw a significant drop of 15.55% in the last 24 hours, according to CoinMarketCap.
Dogecoin Price Analysis
This decline was underlined by the Relative Strength Index (RSI), which fell well below the neutral level and entered the oversold zone.
Source: TradingView
However, in the volatile world of cryptocurrencies, extreme RSI levels (overbought and oversold levels) often indicate the potential for a recovery.
As far as, Sumit KapoorFounder of WiseAdviceSumit commented:
“A bullish recovery soon.”
Notably, the MACD indicator hinted at the bullish sentiment until July 3, but a shift occurred on July 4 as bearish forces gained momentum, highlighting the continued volatility in the DOGE market.
Musk remains positive about the dog-themed memecoin
However, despite this massive downturn, billionaire entrepreneurs are Elon Musk said in a recent interview:
“I plan to personally support Dogecoin.”
His comments have emerged as a ray of hope for investors concerned about DOGE’s declining price trend.
In a separate one interviewMusk also claimed:
“Dogecoin is better suited for transactions compared to Bitcoin.”
Dogecoin vs Bitcoin
To provide a clearer picture, AMBCrypto analyzed IntoTheBlock’s data and found that the Dogecoin bulls were outnumbered by the bears at the time of writing, indicating a possible shift in sentiment.
Source: IntoTheBlock
Bitcoin, on the other hand [BTC] showed a more bearish outlook, with bear activity exceeding that of the bulls.
Source: IntoTheBlock
Interestingly enough, both Bitcoin and Dogecoin serve as benchmarks for the broader crypto market.
When Bitcoin falls, it typically causes a market-wide downturn. Likewise, when Dogecoin falls, the entire memecoin segment will disappear follows example.
This pattern underlines the significant influence these top coins have on market trends and investor behavior.
As of the last update, Bitcoin was trading at $54,000, marking a decline of 4.72% in the past 24 hours. Consequently, the global crypto market capitalization has decreased by 6.91%, now $1.99 trillion.
Dogecoin, on the other hand, changed hands at $0.09551 and experienced a significant drop of 15.55% within the same time frame.
Similarly, the market cap for memecoins stood at $38.1 billion, reflecting a substantial decline of 20.1% in the past 24 hours. Coin gecko.