The price of Dogecoin (DOGE) has dived by 4.5% in the past 24 hours, dropping to $0.079495 amid a 1% fall for the wider cryptocurrency market.
At $0.079495, DOGE has fallen by 9% in the past week but is up by 8.5% in the last 30 days, while the meme token’s 24-hour trading volume rising close to $1 billion, after having been under $400 million only a couple of days ago.
Such an increase in volume suggests that DOGE’s volatility may be on the up, potentially signalling an incoming recovery in its price.
And with the Dogecoin community still holding out for Twitter to introduce DOGE payments in some form, it may not be too long before the altcoin witnesses big rallies.
Dogecoin Price Prediction as $900 Million Trading Volume Rushes In – Can DOGE Hit $1 This Year?
Even with today’s losses, DOGE’s chart suggests that the coin may not be too far away from a recovery of sorts.
Most promisingly, its 30-day moving average (yellow) has recently risen above its 200-day average (blue), forming a ‘golden cross’ that in many cases signals an incoming breakout rally.
At the same time, DOGE’s relative strength index (purple) is rising modestly towards 50, after a dive close to 40 earlier in the week.
This potentially points towards a quick recovery after the falls of the past few days, with DOGE’s support level holding up well enought to prevent further losses.
This suspicion is supported by the fact that its trading volume is nearing $1 billion, after having fallen below $400 million earlier in the week.
This is significant, since earlier rallies this month — including a surge towards $0.1 — were preceded by similar bumps in trading volume.
At the moment, whales are sending conflicted signals with regards to whether a rally will arrive soon, with some sending DOGE to exchanges and some sending the coin off exchanges.
But regardless of when exactly the next rally comes, one is certainly due, given how undervalued DOGE is at the moment.
Of course, this all depends on Twitter and Elon Musk, who alone seems to be main thing/person propping and pushing up DOGE’s price.
The Dogecoin community has long hoped that, as the owner of Twitter, the DOGE-loving Musk would ensure that the social network introduces cryptocurrency payments at some point, including Dogecoin payments.
Such a belief has been supported by a couple of recent pieces of news, including Twitter partnering with eToro to provide real-time asset prices and the ability to buy crypto via the social investing platform.
On top of this, inside sources within Twitter confirmed in January that Musk is pushing the social network to forge ahead with its digital payment plans, including applying for payment licenses with a number of US states.
As such, it’s credible to suggest that Twitter will introduce cryptocurrency features at some point in the not-too distant future, and given that Musk is such a Dogecoin fanboy, it’s not ridiculous to argue that DOGE will be included in the fun and games.
Indeed, Musk continues to reference DOGE at almost every available opportuniy, with the entreprenur tweeting recently that he would pay one million DOGE to anyone who could provide proof that he or his father own (or had owned) an emerald mine.
As such, there’s a real chance that DOGE payments may eventually end up on Twitter, and if they do, the altcoin would rally massively.
Not only would it be likely to return to $0.1 and higher, but it could even end up passing its current all-time high of $0.731578, before potentially rising to $1 in the event of a full-blown cryptocurrency bull market.
Source: CryptoNews
