Dogecoin (DOGE) outbursts its 100-day SMA, could it be a bull run for the meme-coin?
After Elon Musk calls for the integration of Dogecoin (DOGE) into Twitter’s payment system, it sees a substantial boost.
After the news, the meme currency rises by about 8%, but it has since slid significantly. But what lies ahead? The following are some notable events:
- DOGE Outbursts its 100-day SMA: DOGE was trading around $0.05 on April 28th, but it surged to $0.08 after Elon Musk’s tweet.
- This is a move of around 60% in just a day, and it takes the price well above the 100-day simple moving average (SMA).
- It’s Still Early Days: While DOGE has seen a strong rally, it’s still early days for the coin: It remains to be seen if this is the start of a major bull run or just a temporary blip.
- In just 24 hours, DOGE dropped by almost 16% after the initial Elon pump.
- Musk’s comments are unlikely to have a significant impact on the price movement.
Dogecoin (DOGE): Musk’s pump won’t save it?
Elon Musk is one of the most prominent voices in cryptocurrency and technology.
The price shot up when he suggested that Dogecoin might be integrated into Twitter’s payment system.
After all, Elon Musk is the largest shareholder of Twitter. But investors were soon confronted by technical indicators, which proves this pump to be brief-lived.
As a result, the price of DOGE dropped by almost 16%; However, despite dropping below its 100-day SMA of $0.13, the coin has remained well above $0.16.
The level has shown to be strong support and is unlikely to break.
The 100-day SMA is a technical indicator that is used to identify long-term trends. It is regarded as a key level of support and resistance.
A break below this level would be bearish, while a hold above it would be bullish.
Currently, DOGE is trading at $0.15, which is close to its all-time high of $0.16. The coin has surged by over 400% in the past month.
This surge has been driven by a combination of factors, including the endorsement of Elon Musk, as well as interest from retail investors.
It remains to be seen whether DOGE can continue its upward momentum. However, the fact that it has held above its 100-day SMA
When the cryptocurrency has found a price that can support it, we anticipate bulls to press even harder on the 200-day SMA.
While we don’t think it’s likely for the 200 Day SMA to be broken in the near term, a modest bull run may still be considered a win for bulls.
DOGE and future payments?
The most lucrative meme coin before Shiba Inu was Doge. Over the years, the currency has attempted to enhance its ecosystem to offer more value.
While DOGE is not as popular as it once was, the coin still has a devoted community.
In recent years, DOGE has gained some traction as a payment option.
Some online retailers accept DOGE as a form of payment and there are even some ATMs that dispense the coin.
While DOGE may not be ready to take on Bitcoin (BTC) or Ethereum (ETH) just yet, the coin does have potential in the payments space.
If Twitter can incorporate it into its payment system, DOGE will quickly become a mainstream currency with broad ramifications for the digital economy.
The question is; is this surge in DOGE price sustainable or it is just a flip on the radar? Only time will tell.