Dogecoin is once again battling to recapture $0.50 as support
This follows a recent low of $0.416 after Elon’s SNL episode and a crypto-wide selloff
Elon Musk has asked his Twitter followers whether Tesla should accept DOGE
The majority of respondents to his query are for the idea of Tesla accepting DOGE
Space X will be launching a satellite named Doge-1 to the moon next year funded using DOGE
The popular meme-coin of Dogecoin (DOGE) is currently attempting to recapture the $0.50 price area as support after yesterday’s crypto-wide sell-off that saw DOGE drop to as low as $0.416.
Dogecoin is currently trading at $0.486 with the 50-moving average (white) on the 6-hour chart, also converging with the $0.50 price area as highlighted below.
Dogecoin Has Printed a Possible Double Bottom
From the chart, it can be observed that yesterday’s low of $0.416 looks like a double bottom when compared with a similar low set after Elon Musk’s SNL appearance only two days ago.
Also from the chart, it can be observed that the 6-hour MACD, MFI and RSI, all point towards a possible short-term reversal within the week if the market is stable enough.
Elon Musk Asks Whether Tesla Should Accept Dogecoin (DOGE)
Dogecoin attempting to reclaim the $0.50 is partly due to Elon Musk asking polling his Twitter followers, whether Tesla should accept DOGE as a payment method. At the time of writing, over 2.3 million votes have been cast with 76.8% of respondents in favor of the idea as seen in the following screenshot.
Space X to Launch Satellite to the Moon Named DOGE-1
Mr. Musk’s query as to whether Tesla should accept Dogecoin for payments comes only hours after he announced that Space X was launching a satellite to the moon.
The satellite will be named Doge-1 and launched next year. The mission will also be fully paid in Dogecoin (DOGE). Elon Musk also explained that the success of the mission would mean that Dogecoin would be the first crypto in space and the first meme to space.
Adoption Will Drive Demand and Price of Dogecoin
With the possibility of Tesla accepting DOGE and the launch of Doge-1, demand for the meme coin in the crypto markets will continue to be high moving forward. Therefore, the possibility of Dogecoin becoming a top 3 crypto is still in play due to adoption with fans of DOGE optimistic that its growth was not solely driven by FOMO.