Dogecoin (DOGE), the largest meme cryptocurrency by market cap, recently received a shout-out from Tesla CEO X. Elon Musk’s post sparked a frenzy among crypto investors and the DOGE community, which was reflected in the token’s price. Following the recent surge, some analysts believe it’s only a matter of time before a major breakout occurs.
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Elon Musk excites the Dogecoin community
In a recent post on X, Elon Musk acknowledged the leading memecoin by market cap in his response to Donald Trump’s policy proposal. President of the United States revealed that he was open to appointing Musk to an advisory or cabinet position if he won the election.
Speaking to Reuters, the Republican Party presidential candidate called The owner of X is a “brilliant guy.” He also suggested that he would offer Musk a position if he was willing. “He’s a very smart guy. I would certainly do it, if he would do it, I would certainly do it,” Trump said.
The Tesla CEO responded with an X to the proposal, saying, “I’m willing to serve” and sharing an AI-generated image. The image showed Musk in front of a podium with the words “Department of Government Efficiency” and the abbreviation “DOGE” at the top.
Cryptocurrency investors quickly picked up on the reference and shared their excitement over the recognition. Many members of the community took Musk’s post as a bullish sign and suggested that the memecoin is going “to the moon” again.
Others recovered old posts from X where Musk, known as the “Dogefather,” shared his support for Dogecoin against the global financial system.
The apparent endorsement comes after Musk clarified his stance on cryptocurrencies. reported Per NewsBTC, the CEO made a virtual guest appearance at The X Takeover event in late July.
During his speech, Musk explained that he will not be promoting cryptocurrencies, but that he might refer to the digital assets in a joking tone. He also added that he has a soft spot for Dogecoin due to his love of dogs and memes.
DOGE price increases by 6%
The memecoin had seen a 9.3% recovery since the August 5 crash, when it lost its support above the $0.1 level and fell into the $0.08 range. Following Musk’s post, Dogecoin price surged to the $0.1056 mark, up 6.5% over the past 24 hours.
He meme coins Market activity also increased by almost 50% from the previous day, reaching a daily trading volume of $699.5 million. DOGE’s recent performance has some market observers believing that a bullish move for the token could be on the cusp of happening and that “all eyes are waiting for a breakout.”
Galaxy Trading Cryptocurrency Trader consider that the memecoin will likely “lead the charge in the very near future” given the current performance. According to the trader, DOGE often serves as a “key signal for the entire crypto space.” He suggested that investors keep an eye on it as it will potentially trigger a broader market uptrend.
Some analysts agree that DOGE’s breakout won’t happen until the entire market gains momentum again in Q4. Cryptocurrency analyst Kaleo believe which hasn’t changed much for Dogecoin since the market recovery. However, he noted that the token has established a “potential upper limit of ~$0.111 for the new range.”
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According to the analyst, the price of DOGE will fluctuate between $0.085 and $0.11 in the coming months “with decreasing volatility until the market heats up again.” Therefore, he suggested investors “accumulate and hold their positions.”
Similarly, renowned Altcoin Sherpa analyst consider The memecoin chart “still looks good.” Sherpa also believes DOGE is a good choice for investors who want to “hold a meme and be fairly safe with it.”
Featured image from Unsplash.com, chart from TradingView.com
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