The king of meme coins is on the rise again, and Elon Musk has been laying the groundwork for this. Now what? In July, the mischievous billionaire, who shared DOGE-related posts twice, mentioned that Twitter’s logo would be adorned with an X. We had mentioned that this last-minute announcement could cause an increase in the DOGE price. Hours later, exactly that happened.
Twitter and Dogecoin (DOGE)
Elon Musk continues to pursue his vision. The mischievous billionaire, who aimed to create an alternative platform with X App as a WeChat alternative, had also acquired Twitter for this reason. Now, with the expectation of more good news, the DOGE price has started to rise. We had seen a similar situation during the process of Twitter’s acquisition. Today, although more modest, the price is rising.
Twitter will undergo significant changes in the coming days. Meanwhile, the DOGE community will continue to spread speculations about the platform bringing crypto support. If Musk makes another DOGE post amidst all this, it will create the perfect environment for speculative investors. Therefore, it is important to be cautious against the king of meme coins in the coming days.
DOGE Price Chart Analysis
Dogecoin (DOGE) price has finally cleared the long-term diagonal resistance area. However, it has not yet initiated an upward movement, which is often seen after such long-term breakouts. In any case, readings from the weekly and daily timeframes both support the ongoing increase that will legitimize the long-term breakout.
In the technical analysis of the weekly timeframe, it can be seen that the DOGE price has been following a declining resistance line since its peak value of $0.739 in May 2021. This decline gave birth to a low of $0.049 in June 2022.
Subsequently, DOGE experienced a recovery and started trading above the $0.060 horizontal support level. After numerous unsuccessful attempts over a six-month period, the DOGE price finally broke the resistance line last week. The line had been in place for 805 days. Breakouts from such long-term structures often lead to significant increases as they indicate the end of the previous trend.
If the upward trend continues, the possible scenario indicates that the price may reach $0.085 and $0.1. Moreover, considering Twitter’s recent steps, the news flow can support this scenario. In the reverse scenario, the $0.065 support level remains significant.
