- Elon Musk’s potential exit from D.O.G.E. role stirs short-term Dogecoin volatility.
- Dogecoin trades around $0.1638 as investor confidence remains shaky.
- Analysts spot bullish chart pattern hinting at possible DOGE breakout.
Dogecoin is such a key project in Elon Musk’s portfolio, and his departure from any of his roles in it always stir such commotions on the market, just like it does now. Traders are bracing for dogged volatility, as the speculation escalates, and milder questions about The Dogecoin’s future trajectory are posed. The crypto community is on high alert as one of the coin’s most high profile advocates virtually steps aside.
With reports mounting that Elon Musk is set to back away from a role involving the Department of Government Efficiency (D.O.G.E.), Dogecoin price remains in the spotlight. Dogecoin’s long-term outlook has been in doubt since earlier this year when reports suggested billionaire entrepreneur Elon Musk may leave his role later this year.
According to the Washington Post, Musk, who took over the D.O.G.E. role during Trump’s administration, is reconsidering his post facing a series of problems. Central to his reconsideration seem to be increased federal oversight of the advisory board and heightened political pressures.
Senator Elizabeth Warren introduced legislation trying to determine SpaceX leader Musk’s level of influence over the government, sparking new debates around that issue. Musk has apparently helped cut costs in the department while also riling the public at a time when he is rumored to be on his way out at the CEO job. And as these things play out, market observers and Dogecoin proponents are watching closely.
Dogecoin Price Encounters Short-Term Volatility Amid Musk Exit Reports
This is tied to short term uncertainty from the news on Elon Musk’s potential exit of the D.O.G.E. initiative. Currently the meme based cryptocurrency is trading about $0.1638, with the gain of 1% in the last 24 hours and 2.5% in the week. But the market signals remain mixed as doubt creeps in about whether Dogecoin can remain relevant without the weight of Musk’s high profile at its side.
Investor confidence looks as though it is shaky despite signs of a slight recovery. However, there are questions about whether Dogecoin can maintain its appeal among the public if Musk ends his networking with the officials. Musk’s presence on his online persona and public commentary since early stages of Dogecoin’s rise has made it impossible to separate the Dogecoin price movements from the market dynamic that is tied to his persona.
In light of Musk compromising with D.O.G.E., various market participants are expecting less engagement and media buzz surrounding the coin. The possibility of short lived panic buying and a decline in retail trading activity is what analysts are looking for.
Analysts Highlight Bullish Patterns Despite Uncertainty
Many technical analysts that are among the growing speculation that Dogecoin will have a future price trajectory that will increase. One of the leading crypto voices, ZAYK Charts, has caught eyes on DOGE daily chart as it portrays a falling wedge formation. Such a setup is regarded as bullish reversal signal indicating current downward pressure has given way to upward momentum.
Consequently, ZAYK says that Dogecoin is still within this technical pattern and could soon breakout. In case of such breakout, it will address market’s concerns over Musk’s alleged leaving and assure that DOGE’s standing on its own is okay.
