Dogecoin Resilience: Elon Musk Unveils X Acquisition

Dogecoin Resilience: Elon Musk Unveils X Acquisition

Key Insights

  • Elon Musk's next project may be the next step toward the "everything" app, which might be similar to China's WeChat
  • Musk has previously made it clear that Dogecoin would be integrated into the X ecosystem.
  • Musk has sent emails to Twitter's business partners to inform them that the organization behind the Twitter app is now doing business as X Corp.
  • Dogecoin appears bearish but is still fundamentally and technically strong.

Two weeks ago, Twitter CEO, Elon Musk suddenly replaced the traditional blue bird on the social media giant's homepage with the picture of a Shiba Inu dog (which is the Dogecoin logo).

As expected, the price of Dogecoin reacted immediately. The memecoin skyrocketed 30% to the upside and stayed strong near the $0.1 zone for more than three days after that.

Recall that less than a few days before this, Musk and his lawyers blatantly asked a federal judge to throw out a $258 billion lawsuit from 2022, accusing the billionaire of manipulating DOGE's price and raising it by more than 36,000%.

After changing the logo of one of the largest social media companies in the world, Musk sent out a meme tweet featuring a Shiba Inu and a police officer, to his 133.5 million Twitter followers.

Remember that before the billionaire CEO jumped on the Dogecoin train in 2021, the memecoin was relatively unknown and was much closer to zero than it currently is.

This time, however, DOGE may be headed for a new musk-influenced pump.

Musk Announces X Corp Takeover

Elon Musk's next project may be the next step toward the "everything" app, which might be similar to China's WeChat.

This comes after the Twitter CEO launched X.AI, which is intended to be a competitor to chatGPT. He stated on Twitter last year that he intended to create the X app, which would bundle the various services subscribers presently require different applications for.

Musk has previously made it clear that Dogecoin would be integrated into the X ecosystem, perhaps enabling users to use the cryptocurrency to pay for a variety of services, including advertising, software updates, Starlink memberships, or Tesla maintenance.

This begs the question: Where does this leave Dogecoin in terms of price?

According to recent reports, Musk has sent emails to Twitter's business partners to let them know that the organization behind the Twitter app is now doing business as X Corp.

Musk is now reportedly on his way to converting Twitter into the "Everything App."

According to reports, court filings from Twitter's case against political activist Laura Loomer last week were the source of this information.

As per the email Musk sent to Twitter's partners, the following words were included:

"We are writing to let you know that Twitter, Inc. has been renamed to X Corp. The Twitter service will continue to be known as Twitter."

This means that while the Twitter app will continue to be known as Twitter, the company behind it, Twitter Inc, will now be known as X Corp.

This is in fact, not a new thing, as several companies like Facebook (Meta), and Google (alphabet) have also done the same.

How Will This Affect Dogecoin?

Dogecoin's reaction to this bit of news is surprising.


Normally, the price of the cryptocurrency would have jumped by double-digit percentages by now, following such a huge development concerning Twitter and the "Dogefather".

However, CoinMarketCap data shows that DOGE is down by 2.6% over the last day.

<em>Snapshot showing the tokenomics on Dogecoin</em>
Snapshot showing the tokenomics on Dogecoin

The intra-day bearishness on Dogecoin is understandable, considering the current short-term downturn in the entire market

From a 7-day standpoint, however, Dogecoin is doing excellently and is up by an impressive 11.24%.

In conclusion, DOGE is expected to become highly bullish in the future, as X Corp's 'everything app' will likely require mobile payments.  And as things go, DOGE is currently the best bet as long as Musk is in charge.

In the charts, Dogecoin's decline over the last 24 hours is visible. However, a close look at the last candle on its daily chart shows that the cryptocurrency immediately recovered from this slump (as shown by the candle's long tail)

<em>Chart showing Dogecoin's slump and recovery</em>
Chart showing Dogecoin's slump and recovery

On the RSI, the RSI-based MACD and the signal line are on the verge of convergence, and a bounce appears likely, due to Dogecoin's clear bullish strength despite the rest of the market's bearishness.

Dogecoin has shown an unwillingness to go below $0.08 and has instead bounced off the $0.084 zone in what appears to be a rally and retest of $0.1.

Overall, the price outlook for Dogecoin appears promising.

Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.

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