The richest man in the world, Elon Musk, recently posted a photo of a Shiba Inu, Dogecoin’s mascot. However, Dogecoin price did not react positively to the message, as has usually happened in the past when Musk posted similar messages.
Dogecoin price unresponsive to Elon Musk’s Shiba Inu post
This prevented the Dogecoin price from rising Elon Musk’s X-postin which he posted a meme of a Shiba Inu playing a banjo. DOGE has backed such posts in the past because the Japanese dog breed is the meme coin’s mascot. Notably, the message comes amid a downturn in the crypto market, which has led to bearish sentiment towards DOGE.
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As such, this may explain why the Dogecoin price failed to recover thanks to Elon Musk’s X post. DOGE is currently struggling below the psychological price level of $0.2 due to concerns that the crypto market is in crisis bear market. The top meme coin and other altcoins have fallen in value along with Bitcoin, which is now well below the psychological level of $100,000.
However, amid speculation that the Dogecoin price may already be in a bear market, but that’s a positive for the major meme coin Elon Musk’s announcement that X Money will be launched soon. There has been a lot of speculation that DOGE could be included as a payment option in the social media platform’s payment system.
This remains a possibility given Elon Musk’s affinity for Dogecoin, even going so far as to call himself the “Dogefather.” The possible inclusion of DOGE as a payment option on X Money could serve as a bullish catalyst for the Dogecoin price as it would increase the utility of the meme coin
What’s next for DOGE amid bear market concerns
Crypto analyst CryptoCeek provided insight into what’s next for the Dogecoin price as it continues to decline. In one X messagehe noted that DOGE is drifting back towards $0.14 and that a breakdown below this level could see a further decline towards $0.10. This puts the main meme coin at risk of losing its currency structure of the bull market.
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However, CryptoCeek added that a reversal from the 20-day EMA could lead to the Dogecoin price regaining $0.21. In the meantime, he stated that the assortment traders are still in charge. In the meantime, crypto analyst Ali Martinez raised the possibility that Dogecoin’s price could drop to $0.07. He stated that below $0.16, support for DOGE quickly disappears, with the next real demand zone at $0.07.
At the time of writing, the Dogecoin price is trading at $0.16, down in the past 24 hours, according to facts from CoinMarketCap.
Featured image from Freepik, chart from Tradingview.com