Dogecoin hardly has more fans than Tesla boss Elon Musk. In the past, the richest person on the planet caused great euphoria in the community with his tweets and the price of DOGE / USD rose significantly. Musk announced that he had bought a pair of DOGE for his son or published many pictures that showed him with the dog of the meme token in different places, for example in space.
Dogecoin as a payment method for merchandise
Created as a parody of Bitcoin, the cryptocurrency has benefited enormously from this. The price exploded in May of last year to about $0.74 and at times it was one of the 5 most valuable cryptocurrencies in the world, named by investors in the same breath as Bitcoin or Cardano. Musk even brought the ability to buy Tesla merchandise with Dogecoin.
But you have to pay in Doge
— Elon Musk (@elonmusk) September 13, 2022
But the billionaire’s friendship isn’t just about his attention-grabbing tweets. Many people accused him of manipulating the affairs by his actions. The Bitcoin course is also said to have suffered from his tweets. Even the US financial regulator the SEC became aware of it and Musk gave a public debate.
But in the meantime it has become relatively quiet on social networks about Musk’s love of Dogecoin. It is not known whether Musk has lost his interest or whether his advisers have warned him to exercise restraint to avoid legal problems.
DOGE crashed massively by more than 90 percent
What is certain, however, is that the price of DOGE has lost a lot of value again in the meantime. The altcoin has fallen more than 90 percent from its all-time high and is only trading at around $0.057. The coin was last at such a level in March 2021 before the rally began.
But perhaps there could be movement in DOGE’s course again soon. And once again Elon Musk could be the cause of the next price explosion for DOGE. As it is now clear that Musk will actually buy Twitter or must buy it, there is speculation that Musk wants to completely reinvent the short messaging service.
Pay tweets with Dogecoin in the future?
According to the Washington Post, Musk is planning major job cuts. 5,000 employees could be laid off. In addition, Twitter is said to be considering introducing a new payment function. Dogecoin is said to be Musk’s preferred solution as a payment instrument for the “tweet fee”.
If Musk were to actually make an official DOGE offering on Twitter, it could give the altcoin a huge breakout. After all, the number of monthly active users is said to be around 240 million. For one, DOGE would greatly increase its user base. Because if you want to continue being active on Twitter in the future, you may not be able to set up a crypto wallet and buy DOGE.
However, these are just rumors and it remains to be seen if that will actually happen. In any case, the Dogecoin seems to have huge upside potential, so investing at the current low prices could be quite interesting. But what are the scenarios for the short-term trend of Dogecoin and how do analysts assess the medium and long-term price development for DOGE/USD?
Major Bearish Pattern: Will DOGE Break Out to Profits Yet?
Analysis of the DOGE/USD daily chart shows a very interesting formation. Therefore, DOGE/USD is in a large descending triangle since January 2021. Since the resistance line falling from above and the horizontal support line have several contact points, one can definitely talk about a valid chart formation here .
The descending triangle is a bearish pattern according to technical analysis, so it is likely to play on the downside. However, the price of DOGE has already fallen so significantly that a breakout to the upside seems possible. What is certain, however, is that the outbreak in one of the two directions must already happen by the end of October. Because the two lines then meet and the formation ends. If the bullish scenario occurs, the technical price target is around $0.41. That would be a steep price jump of about 670 percent at the current rate.
DOGE to jump 75 percent in price in 2023?
How do analysts see the future of Dogecoin? Some current price forecasts are worth a look:
Digital Coin Price expects a slight recovery to $0.07 for the current year. The $0.1 mark could then be reached in 2023. That would already be a plus of about 75 percent compared to the current price. Analysts expect continued growth in the coming years. However, DOGE/USD is not expected to break the $0.2 mark until 2028. Then the high price forecast is projected at $0.41 by 2031, which corresponds directly to the bullish price target of the technical analysis. However, Digital Coin Price is no longer expecting a new all-time high for DOGE.
Coin Price Forecast is even more alert with its price forecast. Here the analysts expect a slight increase of 13 percent by the end of the year. A doubling of the current price level is predicted for 2029. Even after that, the analysts do not trust DOGE to make any big leap. Even the mark of 0.15 dollars should not be reached.
The assessment of Wallet Investor, on the other hand, is extremely bearish. Accordingly, the meme sign has a bleak future ahead of it. In the next twelve months, the price is expected to drop to $0.004. That would be another price drop of more than 90 percent at the current rate. Wallet Investor sees the course in free fall for years to come.
Can DOGE triple?
The forecast from changelly.com is completely different and extremely bullish. The financial blog initially expects a consolidation of the current price level and only small gains in the coming months. But as early as 2023 it could go up to more than 80 percent and the $0.1 mark should be reached.
In the next bull cycle, which, according to the history of Bitcoin so far, could be initiated by the halving in 2024, then an explosion of prices is expected. For example, changelly.com estimates that DOGE/USD can reach levels above $0.3, registering a growth of more than 400 percent. In 2028, investors who buy DOGE today could already achieve a return of more than 1,000 percent if the analyzes are correct. According to the forecast, DOGE could even rise to an incredible 2 dollars by 2031. That would be almost three times the previous high and, based on today’s price, that represents growth of more than 3,200 percent.