Elon Musk put an end to rising rumors about the well-known cryptocurrency Dogecoin being used by the US government. In a recent appearance, Musk clarified that the “US government has no plans to accept Dogecoin.”
The rumors were based on Musk’s participation in the Department of Government Efficiency (DOGE) project, a government program he is now spearheading to increase operational efficiency through technology.
Some conjectured that considering Musk’s lengthy support of Dogecoin, the project would incorporate the cryptocurrency.
However, the announcement has likely dented investor sentiments, making $DOGE trade down over 3%. At the press time, the token is trading at $0.1640, down 4.11% as compared to the same time last day.
$DOGE’s Not Included in Government Work
While Dogecoin continues to be of personal interest to Musk, he clarified that there are no plans for its official use in government processes.
This explanation attempts to dispel any misunderstandings regarding his involvement in the DOGE project as well as his support of Dogecoin, which has drawn a lot of media attention.
Musk’s remarks highlight his intention to keep his commercial endeavors apart from governmental programs, guaranteeing that there is currently no formal association between Dogecoin and the US government.
Also Read: Crypto Analyst Predicts 16% Upswing For Dogecoin If It Breaks Out Of The Triangle Pattern
DOGE Technical Indicators Show Dicey Market
Technical indications for Dogecoin currently point to a mixed market attitude. Although Dogecoin is neither overbought nor oversold, the Relative Strength Index (RSI), which is currently at about 60, may be getting close to overbought territory if the price continues to rise.
With the MACD line above the signal line, the Moving Average Convergence Divergence indicates bullish momentum and a favorable trend.
Nonetheless, the 50-day and 200-day Exponential Moving Averages in particular are nearing convergence, which could indicate a possible breakout or change in the direction of the trend.
Furthermore, the price of Dogecoin is circling the upper Bollinger Band, indicating heightened volatility. These indicators point to caution because the market is currently consolidating and could move higher or lower, depending on the state of the market as a whole.
$DOGE Price Prediction: What is Happening?
The price of Dogecoin is still unpredictable and depends on a number of market variables. Dogecoin may see moderate volatility at the moment, with both upward and downward movements possible, according to technical indicators.
Dogecoin may experience gains if the overall cryptocurrency market continues its upward trajectory, possibly testing resistance levels close to $0.18 or above.
However, Dogecoin may see a pullback and perhaps return to support levels around $0.10 if investor confidence is affected by larger economic causes or if market sentiment shifts negatively.
Since Dogecoin’s price frequently responds to social media trends and endorsements from individuals like Elon Musk, long-term price projections are still purely theoretical.
Dogecoin is a very volatile asset to follow because its price trajectory will ultimately depend on its continuous popularity, market sentiment, and outside influences.
Also Read: House Of Doge Launches “Official Dogecoin Reserve” With 10M DOGE Purchase