Dogecoin (DOGE) Price Prediction: Elon Musk to Drive 50% Rally?

Insights:

On March 14, Dogecoin (DOGE) price surged 15% to graze the elusive $0.00002 territory, before entering a pullback amid the market downturn on Friday. Elon Musk’s recent comments hinting at Tesla accepting DOGE for payments was a major catalyst behind the surge in DOGE market demand.

Elon Musk tips Tesla to Accept payments in DOGE

Tesla’s CEO Elon Musk has suggested that the company might start accepting dogecoin for Tesla vehicle purchases. Elon Musk has endorsed the pioneer memecoin on many occasions, particularly since 2001.  

Elon Musk Hinted on the DOGE integration for Tesla car purchase during a session at Tesla’s Berlin Gigafactory. He entertained the idea in response to a question about DOGEintegration for Tesla by a member of the audience.  

“At some point I think we should enable that,” Musk stated.  

Elon Musk’s advocacy for Dogecoin isn’t new often calling the crypto asset “The People’s Crypto” back in 2021.

However, Tesla started accepting crypto for Tesla merchandise on January 15 2022. The crypto transactions were however limited to DOGE alone.

Fans of Tesla recently discovered that Dogecoin was mentioned in the code for Tesla’s Cybertruck checkout page.

This sparked speculations on whether the company are set to start accepting DOGE for its much-anticipated Futuristic Truck.  

Despite these mentions, an official statement regarding Dogecoin as a payment method from Tesla or Musk has yet to be released.  

Elon Musk’s comments on Dogecoin have historically impacted the performance and price of Dogecoin in the market.

The meme coin also witnessed a 78% rally in March prompting the crypto community to keenly observe Dogecoin’s performance especially its resistance and potential for breakout.  

Dogecoin price prediction: Consolidation before 50% breakout?

Going by the historical trends, the increased market demand and media coverage from Elon Musk’s recent bullish comments could drive Dogecoin price into an accelerated breakout during the next rally.

In terms of short-term price movements, DOGE price first has to hold steady above the $0.15 support level. As seen below, DOGE is current trading just above that 20-day SMA price mark.

Failure to defend that key support level could put DOGE at risk of a major sell-offs.

But on the flipside, if the bullish traders capitalize on the media fanfare, DOGE price could enter a 50% breakout toward $0.25.

This article was originally posted on FX Empire

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