Why Elon Musk’s tweet failed to move Dogecoin price



Akash Girimath Akash Girimath
FXStreet

Dogecoin price slipped up as Bitcoin price triggered a sudden crash on May 26. This downswing, while serving as a great opportunity to accumulate DOGE, failed to recover alongside BTC.
However, denoting the capital rotation away from altcoins, including Dogecoin, is the recent tweet from the Tesla CEO Elon Musk. Often, tweets from Musk including DOGE has caused the price to rally, but despite the recent mention, the dog-themed crypto seems to have remained unaffected. 
Dogecoin Trillionaire, the Movie
This lack of interest from investors indicates that investors are speculating on relatively stable assets like Bitcoin than extremely volatile assets like Dogecoin. 
Dogecoin price is undergoing a tight consolidation that is slowly favoring the sellers. The UST depeg-led crash pummeled DOGE to set a swing low at $0.065 on May 12. Although DOGE recovered 44% and set a swing high at $0.096 on May 13, it has been forming lower highs since. 
On May 26, Dogecoin price crashed 9.6% and tried recovering these losses as Bitcoin rallied. However, DOGE seems to have run out of fuel as the bounce failed to manifest. This lack of buying pressure could indicate that investors have pulled the capital for risky altcoins.
The only place for this capital to flow is into stablecoins or relatively stable assets like Bitcoin or Ethereum. Hence, investors need to be careful when trading altcoins. As for DOGE, the intermediate support level at $0.073 seem to be here to defend against the downswing. A bounce off this barrier could propel Dogecoin price back to the $0.087 hurdle. 
DOGE/USDT 4-hour chart
DOGE/USDT 4-hour chart
On the other hand, if Dogecoin price breaks down the $0.073 barrier, it will denote that the sellers are in control and knock the altcoin down to $0.062. 
Here, buyers have a chance to regroup and come back. However, a four-hour candlestick close below this level will invalidate the bullish thesis for Dogecoin price. This development could further push the dog-themed crypto to the $0.046.support floor. 
 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Ripple price closed back above the 200-day SMA after equities triggered a turnaround. XRP traders will be on edge today as US PPI numbers will be crucial for the last three weeks of 2022.
Coinbase, one of the largest cryptocurrency exchanges and a co-founder of USD Coin (USDC) has urged traders on its platform to exchange USDT to USDC, offering the transfer for free.
The Securities and Exchange Commission (SEC), the US financial regulator, has warned firms to disclose potential threats to their business from the fallout of the FTX exchange. 
Ethereum (ETH) price shows a strong comeback as it follows in Bitcoin’s footsteps. However, there seems to be another cause why ETH has a higher probability of continuing this uptrend – the Shanghai hard fork. 
Bitcoin price shows a healthy start of an uptrend, albeit a slow one after weeks of tight consolidation. This bullish outlook has strong reasons to continue, but investors need to consider all possible scenarios. 
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer.
Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.
Opinions expressed at FXStreet are those of the individual authors and do not necessarily represent the opinion of FXStreet or its management. FXStreet has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: errors and omissions may occur. Any opinions, news, research, analyses, prices or other information contained on this website, by FXStreet, its employees, clients or contributors, is provided as general market commentary and does not constitute investment advice. FXStreet will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.

source



Source link

(Visited 3 times, 1 visits today)

About The Author

You Might Be Interested In

LEAVE YOUR COMMENT

Your email address will not be published. Required fields are marked *

This is default text for notification bar