Dogecoin (DOGE) price recently faced a drop and a trend reversal. The memecoin opened higher this Friday (30) after Elon Musk won a lawsuit for market manipulation. However, the price soon fell by 3%, causing DOGE to reach US$ 0.09.
Despite persistent bearish pressures that reflect broader market challenges, DOGE is now moving towards a stabilization phase. However, several traders expect that DOGE could reach $1.00, which would imply an increase of almost 800% on the year. Is this move possible?
DOGE fluctuates with Musk's victory in the trial
Elon Musk and Tesla have been acquitted in a class-action lawsuit seeking $258 billion in damages. The group of investors alleged that the billionaire had manipulated the cryptocurrency market involving DOGE, but the judge acquitted Musk.
The court ruled that Musk's alleged manipulative statements were not misleading and that investors should not rely on such remarks in making investment decisions.
Over the past 24 hours, the price of Dogecoin has seen fluctuations, reaching a low of $0.09854 and a high of $0.1025. The verdict of the trial brought great volatility to the market and reflected a further decline in DOGE.
Technical indicators for DOGE suggest a mixed outlook, with the Relative Strength Index (RSI) hovering around the neutral zone, meaning the market is neither overbought nor oversold.
On the other hand, the Moving Average Convergence Divergence (MACD) is showing signs of a possible decline, which could indicate a downtrend. In addition, other data reinforces the possibility of a fall in DOGE.
US$1 in 2024?
Recent data reveals a significant decline in Dogecoin’s whale transaction count and social volume over the past few months. These two indicators reveal a lower interest in the memecoin, which contributes to a cooling market.
The chart highlights a notable drop in whale transactions above $100K and a corresponding decrease in social media discussions. This decline comes despite the explosion of mentions about various memecoins coming from networks like X.
Decreasing whale activity may suggest that major investors are dumping their positions or choosing not to make new purchases. Coupled with lower social volume, this could reduce overall market sentiment and demand for DOGE, negatively impacting its price in the short to medium term.
However, a possible resurgence in the uptrend could push DOGE’s price forecast above the $0.15 mark. If this limit is breached, it could pave the way for a surge towards $0.30.
With bullish pressure mounting, breaking above the $0.50 level could significantly change Dogecoin’s typical trading patterns. Such a breakthrough could push the price towards $1, marking an 807% increase.
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