Dogecoin Soars After Elon Musk Confirms He’s “Pro DOGE”

Early on Friday, it looks like the bulls are coming back into Dogecoin (DOGE), and we have to thank the Dogefather, Elon Musk, again for the uptick in buying action in the most popular and largest memecoin by market capitalization. At the time of writing, DOGE/USD is trading around $0.185.

The meme token has been trading in a range for several sessions of late, amid the bearish mood in the wider crypto sector which has been keeping buyers out of the market. However, it looks like the buying spree may start soon after leading crypto Bitcoin manages to rise past the key $50,000 mark after trading under it for many days.

Musk is Pro Doge, Sends Dogecoin Higher

Meanwhile, Dogecoin’s leading celebrity promoter and Tesla CEO Elon Musk has reignited interest in the cryptocurrency after he stepped into the ongoing debate on social media about the Web 3.0 hype between him and Twitter’s co-founder, Jack Dorsey. While Musk remains unconvinced about the potential of Web 3.0 as of now, he talked about how he was pro DOGE as he felt that Bitcoin was only enabling new rich people to gain more power in the market.

In a tweet shared on Thursday, Dogecoin’s co-founder Billy Markus observed, “My goal is to build stuff and make money and have fun. I’m used to the corporate establishment and don’t really see any meaningful break away from it — Bitcoin just gives power to new rich people.” Musk then went on to reply to this tweet with the statement about being “pro Doge”, waking up dormant buyers and sending them to the meme token.

More Developments Supporting Dogecoin’s Rise

Markus recently also discussed the differences between Dogecoin and its key rival, the Shiba Inu coin. He noted that DOGE had a significant advantage over the second most popular memecoin as it enabled transactions at extremely low costs, unlike SHIB which is an ERC-20 token which experiences fluctuations in gas fees based on Ethereum’s network congestion and demand. Unlike Shiba Inu, Dogecoin was built from the ground up with its very own blockchain infrastructure instead of employing the Ethereum network which has been facing considerable flak for its soaring gas fees.

DOGE could also see buying interest build up in the near term, as long as the crypto market sentiment continues to improve, following the release of a “trailmap” by the Dogecoin Foundation. The document outlines future plans for the cryptocurrency, insisting on how they value utility over technical brilliance, which indicates a strong focus on building its adoption as a payment method.

DOGE/USD Technical Analysis

Technical analysis of the H4 price chart of DOGE/USD reveals a bullish picture among almost all moving averages as well as leading technical indicators MACD and momentum. However, the 200 EMA suggests some selling interest looming in the market.

Dogecoin’s price sits just above the pivot point at $0.18 and needs more buying momentum to build up to take it higher. If this happens, we could see DOGE buyers give the immediate resistance at $0.20 a shot and break past this psychological level.