Dogecoin Stalls as Elon Musk Continues to Influence Markets
May 21, 2021
CEO of Tesla and SpaceX Elon Musk continues to move the Dogecoin (DOGE) market with his utterances and tweets. The outgoing billionaire tweeted yesterday that he would not sell any of his DOGE holdings as the market continues to stall.
Musk tweeted this reply to a tweet from YouTuber Dave Lee calling him the “ultimate HODLer.”
Elon Musk has been a vocal proponent of cryptocurrencies and has pushed the prices of many coins, including Bitcoin and Dogecoin, higher over the past year. Earlier this year, the CEO favored Bitcoin above all other cryptos and revealed that Tesla bought $1.5 billion worth of it, sending the benchmark cryptocurrency price flying.
However, Musk seems to have backstepped his support in favor of Dogecoin. Last week, he tweeted that Tesla would no longer receive Bitcoin payments for its vehicles. This announcement was the primary triggering factor behind the current bearishness across the crypto market.
That said, the crypto advocate recently insinuated in a tweet that Tesla would not sell any of its BTC any time soon. This notion lent some support to the bear market.
Musk’s recent tweet insinuates that he is optimistic that DOGE could touch the $1 mark soon. This tweet spurred the cryptocurrency from $0.37 to $0.40 within a few minutes.
Key Dogecoin Levels to Watch — May 21
Along with most other cryptocurrencies, Dogecoin is trading in an overt downward trend. Following a healthy rebound from the $0.21 area yesterday, the seventh-largest cryptocurrency came across intense resistance around $0.40.
Based on our 4-hour chart, the cryptocurrency continues to print lower highs indicating that bears still have control. That said, a clean break above the $0.40 level (top end of our descending channel) over the coming hours could help the cryptocurrency regain a bullish momentum.
Meanwhile, our resistance levels are $0.4000, $0.4200, and $0.4500, and our support levels are $0.3500, $0.3000, and $0.2500.
Total Market Capitalization: $1.74 trillion
Dogecoin Market Capitalization: $50.3 billion
Dogecoin Dominance: 2.8%
Market Rank: #7
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