After six consecutive days of trading in the red, Dogecoin (DOGE) has jumped nearly 2% in the last 24 hours. The dramatic uptick comes after the popular memecoin spurred investor confidence amid key developments surrounding the cryptocurrency.
Dogecoin Awakens after a Red Streak
The price surge started with Dogecoin (DOGE) ending a six-day losing streak on Tuesday, as prices rebounded from a recent point of support. The memecoin extended its rally on Wednesday as Bitcoin (BTC) continued to feel the heat, remaining below the $26,000 mark.
Over the last few hours, DOGE has seen an unexpected price surge fuelled by several key factors that seem to have boosted investor confidence in the dog-themed cryptocurrency. According to CoinMarketCap, the digital token is up 1.22% in the last 24 hours to trade at $0.063. However, DOGE is still trading in the red over the past seven days.
What has Triggered the Dogecoin Rally?
One of the major factors that has triggered the bullish move is Elon Musk. A new biography of the Tesla CEO is due to be published on 12 September 2023, which, among other things, will talk about the billionaire investor’s involvement in the Dogecoin crypto project.
As per data revealed by Chinese cryptocurrency journalist Colin Wu, also known as Wu Blockchain, the highly-anticipated book, reportedly sheds light on Musk’s discreet financial contributions to the development of the popular memecoin.
The biography of Elon Musk, which will be published on September 12, revealed that he has been quietly funding the development of DOGECOIN; considered creating a social media based on blockchain and including payment; SBF ultimately failed to invest 5 billion to help acquire… pic.twitter.com/jshe9Gk7qI
— Wu Blockchain (@WuBlockchain) September 2, 2023
Wu took to X, quoting Walter Isaacson, the author of the forthcoming book who disclosed that Musk “quietly funded” the development of Dogecoin and also considered creating a blockchain-based social media, including payment systems.
Musk’s affinity for Dogecoin has been openly expressed in the past. In April 2024, the billionaire changed the traditional logo of X (formerly Twitter) to that of DOGE. At the same time, the Dogecoin official account tweeted, “Very currency. Wow. Much Coin. How Money. So Crypto.”
Furthermore, in a tweet in August, Musk was responding to a post on X by his mother Maye Musk, noting that “X,” is a DOGE-friendly place. Given his fondness for DOGE, many experts have argued over the course of time that its integration as a payment method on X could probably be the next step. These factors seem to have triggered the recent price surge amidst the ongoing market volatility.
X is a dog & Doge friendly place!
— Elon Musk (@elonmusk) August 23, 2023
Will DOGE Continue its Rally?
Not just his love for the popular memecoin, Musk was also embroiled in a scandal related to DOGE. Earlier this year Musk was accused of insider trading in a lawsuit filed by some cryptocurrency investors.
The investors alleged that the CEO of Tesla and owner of X, leveraged his astronomical influence to manipulate the price of Dogecoin (DOGE). While the Dogecoin community remains hopeful of a bull run, it remains uncertain if this memecoin will continue its rally due to the current market conditions as it continues to trade sideways.