DOGE rises to 11-week high as Elon Musk resumes public Dogecoin interactions

TL;DR

Dogecoin saw a notable increase in price on a 24-hour scale, possibly due to a recent interaction by Elon Musk during a public event. Despite the optimism, DOGE’s RSI suggests it may be overbought and could pull back. DOGE on the run

Dogecoin (DOGE) is the 20th best performing cryptocurrency today (October 18), with a 9% increase in price to over $0.13. The last time the rating was this high was at the end of July.

Price DOGE, Source: CoinGecko

The rally could be attributed to Elon Musk’s comments during his recent public speech in Pennsylvania. The Tesla CEO was asked if he would lead a potential new division (called the Department of Government Efficiency) in an eventual Donald Trump administration. He simply replied, “Yes, DOGE,” to applause from the crowd.

This isn’t the first time that the leading meme currency has headed north after the interaction of one of the richest people on the planet. In March of this year, Musk said that Tesla might allow DOGE payments “at some point.” This led to a double-digit increase in the price of the token.

Two months later, the EV giant officially integrated DOGE as a payment option on its website. The move fueled another substantial (but brief) rally for the asset.

Musk has openly supported Dogecoin over the past few years, praising its merits several times. At one point, he even referred to himself as “DAD DOG.”

Is DOGE ready for more earnings?

The latest resurgence of the meme currency caught the attention of numerous analysts. X user Dylan, for example, said that a massive revival of the other altcoins could follow the DOGE bomb.

$DOGE it has finally started to move

Remember, when DOGE pumps, the Altseason begins pic.twitter.com/NRqFlx2cXE

— Dylan (@DylanTillEth) October 17, 2024

Earlier this week, Ali Martinez also chimed in, outlining a pretty ridiculous prediction. He presented a chart showing that DOGE could explode to an all-time high of $10 in the coming months.

It’s important to note that this would require its market cap to skyrocket to roughly $1.4 trillion. Currently, only Bitcoin (BTC) is close to this goal, while the entire capitalization of the cryptocurrency sector is around $2.44 trillion (according to data from CoinGecko).

Despite the bullish mode recently, one metric suggests that DOGE could be heading south soon. This is the Relative Strength Index (RSI), whose ratio is currently above the critical level of 70. These readings usually indicate that DOGE is in overbought territory and could be due for a pullback.

SPECIAL OFFER (Sponsored) Binance Free $600 (Exclusive to CryptoPotato): Use this link to register a new account and receive an exclusive welcome offer of $600 to Binance (full details).

2024 LIMITED OFFER on BYDFi Exchange – Up to $2888 Welcome Reward, Use this link to register and open a 100 USDT-M position for free!