Dogecoin has seen a 25% price pump in the past seven days, likely due to news announced by Elon Musk about the new version of his social Twitter 2.0. Do investors believe DOGE will be integrated for payments on the social network?
Dogecoin: DOGE price +25% after Elon Musk’s tweet
At the time of writing, Dogecoin (DOGE), the quintessential crypto memecoin is worth $0.094, registering +25% from 7 days ago.
Among other reasons, some say there may once again be the hand of Elon Musk, the new CEO of Twitter as well as the richest man in the world.
And indeed, Musk recently shared a tweet with some slides showing the innovations he intends to implement on the social network in its new version 2.0, dubbed “The Everything App.”
Although DOGE has not been named, it appears that there is no shortage of confidence among investors that it will be integrated as a payment method on the social network.
— Gail Alfar (@GailAlfarATX) November 27, 2022
“The slides from my corporate Twitter speech.”
“Payments in Dogecoin? @elonmusk #dogecoin”
Thus, the involvement of DOGE is not confirmed, but its price and its climb in the rankings by market capitalization nonetheless suggest that crypto-traders value the quintessential memecoin.
Dogecoin: sentiment toward the memecoin is still neutral
Looking at DOGE’s price chart for the past seven days, the memecoin spiked in price yesterday right around the time Musk was sharing his tweet.
And indeed, DOGE yesterday reached as high as $0.1063. Not only that, Dogecoin now ranks 8th in the overall crypto ranking, with a market capitalization of $12.5 billion and a 1.54% dominance over the entire cryptocurrency market.
This move up by the memecoin does not seem to reflect the sentiment of euphoria, but rather, it seems that for the past few days, Dogecoin’s Fear and Greed index is stuck in the neutral zone.
Dogecoin Fear and Greed Index is 44 ~ Neutral pic.twitter.com/UunNINkHMp
— Doge Fear and Greed Index (@DogecoinFear) November 28, 2022
DOGE and Elon Musk: the union continues for better or worse
Just as in marriage, the association between DOGE and Elon Musk is implied in both good and bad.
And indeed, as for the “bad,” the class action lawsuit against Elon Musk for promoting Dogecoin was adjourned in early September. Basically, the plaintiffs allegedly hired an expert witness to explain to the court how and why Dogecoin would be a pyramid scheme.
The new document describes the pyramid scheme by stating that for every billion dollars Musk made from Dogecoin, everyone who would follow him instead lost the same amount, plus fees related to the exchange, mining, and due to the spread.
Admittedly, all those who bought DOGE after 4 February 2021 are indeed still at a loss as of today, but predicting that the price of memecoin will never again approach its high of 73 cents is simply impossible to do, especially when it comes to cryptocurrencies.