The price of Dogecoin jumped 8% today to $0.092839 following reports yesterday that Twitter owner Elon Musk is determined to continue integrating payments into the social network. DOGE is now up 11% in two weeks and up 32% since the news, and the market expects the meme token to be one of the main beneficiaries of Twitter’s cryptocurrency game.
The market has long expected Twitter to one day see Dogecoin payments, and if that expectation comes true, there is no doubt that DOGE will skyrocket as a result. However, there is no direct mention of dogecoin itself in recent reports, and since Twitter is also reportedly working on its own digital currency, there is no guarantee that the social network will accept DOGE.
Dogecoin Price Prediction As Elon Musk Reveals He’s Considering Crypto Payments For Twitter – Can DOGE Reach $1?
The DOGE chart clearly shows that the altcoin is enjoying a bullish run right now, with its relative strength index (purple) rising to 70 as a result of the momentum building. At the same time, its 30-day moving average (red) broke above the 200-day moving average (blue), again indicating that a breakout of indefinite duration is now underway.
The main reason for today’s rally was an article published yesterday on the website Financial Times in which insiders tell the publication that Twitter is accelerating its payment plans and the social network is already applying for regulatory licenses in the US.
The report also mentions that Twitter’s payment services will be “designed in such a way that crypto features could potentially be added at a later date.” That’s the only mention of the cryptocurrency in the entire report, but it was apparently enough to spark a rally in Dogecoin, with the coin hitting a 24-hour high of $0.095126 after a 24-hour low of $0.085494 (a gain of 11 %). ).
Of course, it should be emphasized that the insiders who communicated from the Financial Times , DOGE was never mentioned. They also seem to have assumed that Twitter’s payment services would initially only include fiat currencies, as well as the fact that, as we saw with Facebook-Meta, Twitter could face significant regulatory pressure.
Thus, it would be very premature to start buying DOGE in bulk, believing that it will soon jump to $1. Indeed, recent weeks have brought news of a so-called “Twitter Coin,” a purported internal digital currency that could lead to Twitter not needing to use dogecoin (or any other existing cryptocurrency).
Still, despite such caveats, it’s safe to say that if he has his way, Elon Musk will see to it that Twitter has some form of cryptocurrency payments sometime in the future (although that could be years away). And just to please dogecoin holders, there is a very good chance that DOGE will grow significantly if Twitter integrates it.
With this possibility in mind, DOGE advocates continue to target $1 as the altcoin’s medium to long-term price.
On the other hand, observers outside the Dogecoin community continue to propose more realistic goals. For example, in December, a panel of experts predicted that DOGE would end the year at $0.08 (it actually closed at around $0.07), before rising to $0.19 by 2025.
Needless to say, such conservative goals are likely to disappoint die-hard DOGE enthusiasts. But in a world where Twitter implementations can’t be taken for granted, they’ll likely prove more accurate than anything a DOGE owner can offer.
This does not mean that DOGE is solely dependent on Twitter for price movements. It also enjoyed a small boost at the end of the year when it was listed on Bitstamp, which according to CoinMarketCap is the fifth largest exchange in the world by volume.
This shows that there may be a bit more going on with DOGE than just hoping Elon Musk saves it.
