The price of Dogecoin has once again outperformed other cryptocurrencies with a strong, independent rise. Its recent rally reflects a breakout trend in Bitcoin’s price, which often sets the pace for other digital assets. Despite Bitcoin’s influence over the broader crypto market, Dogecoin’s recent moves show a deviation from this norm, its price rising as Bitcoin sees a slight decline.
Dogecoin price performance can be due to the recent uptick in social sentiment among traders, largely due to new talk from Elon Musk.
Dogecoin Price Rises Despite Bitcoin Crash
According to data from CoinMarketCap, the price of Dogecoin has gained 11.44% in the last 24 hours, in stark contrast to Bitcoin’s 1% drop in the same period.
During a the latest podcast appearing with Joe Rogan, Musk referred to “DOGE” as an abbreviation for a considerations of the Department of Public Works. Although the comments may not have been directly related to Dogecoin, they affected the Dogecoin community, fueled excitement and contributed to the current rally in the commodity.
Trading volume for the leading meme coin jumped sharply on Monday as investors capitalized on the hype. The trading volume of Dogecoin currently stands at $3.17 billion, an increase of 55.5% in the last 24 hours. Interestingly, this surge saw the price of Dogecoin reverse the previous decline and fall back into positive price action over a seven-day period.
Elon Musk has been ono big words in supporting Dogecoin three years ago. However, it is important to note that Elon Musk’s Department Of Government Efficiency (DOGE) has nothing to do with the popular meme coin. In an interview with Joe Rogan, Musk explained the department’s rationale was to reduce the complexity of federal bureaucratic processes and redundant regulations.
What’s Next for DOGE?
The recent increase in trading volume and activity reiterates the unique role social factors play in driving Dogecoin’s price movements. This trend may well continue in the coming months, especially when proposed The Department of Good Government Performance is emerging. For now, however, this department is still a concept put forward by Elon Musk as part of the presidential campaign of the Republican member Donald Trump, and its construction depends on his success in the US presidential election.
Regardless of the outcome of the election, the broader crypto industry is expected to maintain a positive outlook, possibly led by Bitcoin and not Dogecoin. However, Dogecoin is set to benefit from this anticipated bullish environment as well he can see more benefits for the rest of the month.
At the time of writing, the Dogecoin price is trading at $0.168. The next target is breaks above $0.17 and creates a price floor at this level.
The featured image was created with Dall.E, a chart from Tradingview.com
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