Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
Dogecoin has come under criticism yet again due to its price being influenced by Musk. While the memecoin has been a fan-favorite for a long time, its over-reliance on Elon Musk paired with a restricted vision with no real-world use-case has caused it to be dropped from the purses of many investors and traders.
Although memecoins were created as a joke, there has been an increase in terms of their roadmap and structure giving them more applications. Shiba Inu is one such token that was launched taking inspiration from DOGE but went on to create its own space. Dogecoin is currently struggling to find its foothold, however, there are still many who hold onto the memecoin.
Musk’s influence
The advent of Dogecoin was crucial in preparing the ground for the present expansion of the meme coin arena. The cryptocurrency’s popularity truly took off when Tesla CEO Elon Musk started endorsing the coin.
Musk joined the Dogecoin bandwagon in 2019, primarily as a joke. However, over many months, his social media remarks about Dogecoin lent it more and more credibility.
His earliest mention of Dogecoin came on X (formerly Twitter) in April 2019, when he called it “my fav cryptocurrency.”
Dogecoin might be my fav cryptocurrency. It’s pretty cool.
— Elon Musk (@elonmusk) April 2, 2019
DOGE increased by more than 70% immediately following Musk’s disclosure. What was intriguing was that this occurred amid the pinnacle of the bear market.
Since then, the tech mogul has publicly endorsed the meme coin multiple times. He even referred to it as the “people’s crypto” on one occasion, highlighting its widespread use among his company’s blue-collar workers.
I mean 🤷🏼♂️ the appeal is real #dogecoin 👉🏼 https://t.co/9FCuiv0ROW pic.twitter.com/oueAaU7EKQ
— SlumDOGE Millionaire (@ProTheDoge) October 23, 2021
Aside from the brief price increases, the Dogecoin community saw a level of optimism never seen before as a consequence of an endorsement by one of the richest people in the world.
And when Musk took over Twitter in the autumn of 2022, the excitement reached new heights.
Elon Musk’s purchase of Twitter marked an iconic moment. As a result of Musk’s announcement, the price of Dogecoin appreciated by more than 100%.
Since Musk-Twitter’s takeover, there have been speculations about incorporating and integrating Dogecoin with X.
The rumors about DOGE being the official means of crypto payment began to grow. Within a week, the meme coin’s value had more than doubled.
However, it’s been months since and Musk has not made any updates on this front yet. Also, this hype didn’t last long.
Due to its over-dependence on Elon Musk, DOGE has not been able to expand its repertory of successful real-world use cases. This caused the meme coin’s price to lag earlier in the year.
Dogecoin 101
Dogecoin was founded in December 2013 as a cryptocurrency based on memes. The introduction of serious digital currencies at the time encouraged the development of this amusing alternative.
Jackson Palmer and Billy Markus, two software developers, co-founded the project to create Dogecoin as a more accessible cryptocurrency than Bitcoin.
In addition to its support for clean water efforts and the Jamaican sledge team, the currency quickly gained a following.
Despite its amusing origins, Dogecoin developed a particular charm by incorporating charity, community spirit, and internet culture.
The reason for Dogecoin’s phenomenal growth is its robust and passionate community. This group is well-known for its wit, inclusivity, and common ambition of mocking the significance of Bitcoin.
On social media platforms like Reddit and Twitter, fans built a sense of community by sharing memes, providing suggestions, and endorsing charitable organizations. This gesture attracted new members.
This thriving community contributed to Dogecoin’s continued popularity and global acceptance.
DOGE-1 to the moon
In November, the National Telecommunications and Information Administration (NTIA) granted crucial regulatory authorization to the DOGE-funded SpaceX Doge-1 Moon Mission.
A few weeks ago, the Federal Communications Commission authorized the DOGE-1 Moon Mission for launch on the 12th of January 2024. The announcement was made by Doge Norway on X.
He went on to say that the expedition was paid for in DOGE and that it is the first meme crypto in space.
SpaceX launching satellite Doge-1 to the moon next year, now i find january 12, 2024
– Mission paid for in Doge⁰– 1st crypto in space⁰– 1st meme in space
To the mooooonnn!! pic.twitter.com/izwhIZngu9— Doge Norway (@DogecoinNorway) November 28, 2023
The DOGE-1 satellite project was unveiled by the Geometric Energy Corporation, a space technology corporation, in May 2021.
Elon Musk stated that his spacecraft engineering firm will disclose the Dogecoin-themed voyage to the moon in the first quarter of 2022.
The mission aims to launch the DOGE-1 satellite into lunar orbit, becoming the first spacecraft entirely sponsored by Dogecoin.
The SpaceX Falcon 9 rocket will be used to launch DOGE-1 into space, demonstrating Dogecoin’s foray into cosmic realms.
Following the (NTIA) clearance, Dogecoin’s value hiked significantly.
What does ChatGPT say?
We began to put our AI companion to the test by presenting it with questions related to the future of Dogecoin. The capacity of ChatGPT to express itself is now hampered owing to constraints set by the developers.
Ergo, we used the “jailbreak” hack to get it to say what it wanted.
Source: ChatGPT
Our AI companion thinks that the DOGE-1 satellite project will push Dogecoin’s prices to new heights.
As the project is the first of its kind, the coin will grab more attention and support from the space community, which will work in the coin’s favor.
Can Dogecoin maintain its momentum?
The price of Dogecoin rose by 20% in the first ten days of December as crypto-investors poured into meme coin marketplaces to boost earnings and diversify their portfolios.
However, the meme coin suffered a 5% correction on 14 December. So, we asked ChatGPT whether Dogecoin can maintain its momentum or not.
Source: ChatGPT
The classic version listed various factors, including market sentiment, real-world use cases, and its ability to adapt, that would decide if DOGE can propel itself forward.
The jailbroken version was rather more enthusiastic about the potential of the meme coin.
It claimed that with an ever-growing community of supporters and exciting developments on the horizon, Dogecoin is set to become the cryptocurrency of the future.
ChatGPT’s take on DOGE reaching $1
Despite demonstrating a break from the bearish trend, the conditions surrounding DOGE remain unclear. The cryptocurrency markets are on a rollercoaster ride, with numbers hovering near critical levels.
The bulls and bears have equal power, keeping prices above the support but below the critical resistance levels. Meanwhile, the famous meme coin has made some impressive moves in recent days.
So, we asked ChatGPT a question regarding the future.
Source: ChatGPT
Even though the AI bot seems optimistic about the coin’s trajectory, we should keep in mind that predicting the price of a coin is highly speculative and depends on a wide range of factors.
Thus, we can assume it’s a highly speculative prediction that is unlikely to come true.
How did DOGE do this week?
Source: DOGE/USD, TradingView
DOGE was trading at $0.08275 at press time, eyeing a 4.20% surge in its price. While the Relative Strength Index or RSI saw a reading of 55 above the 50 mark, there were signs of a weak bullish momentum.
The Bollinger Bands also reflected this sentiment as they were seen converging as the price was seen moving past the top band.
Dogecoin has been trading within the range of $0.08215 and $0.8715, if it can break past this range, a higher move can be expected in the future.
Final word
Doge has been a favorite among many, and while the entire market saw a slight recovery, DOGE only got a small portion of this share.
For the “OG meme coin” to do better in the market, it needs to remove its codependency with Elon Musk and perhaps focus on more real-world applications.
Through this, it could become a part of more investors’ long-term portfolios.
While ChatGPT remains positive on how the meme coin will move forward, it is important to do more research before putting money into it instead of blindly following its advice.