Dogecoin price once again stands out from other cryptocurrencies with a strong and independent increase. Its latest rally reflects a trend of detachment from the price of bitcoin, which typically sets the pace for most other digital assets. Despite bitcoin's influence on the broader crypto market, Dogecoin's recent movements show a deviation from this norm, with its price rising even as bitcoin saw a slight drop.
Dogecoin price behavior may be attributed to a recent rally in social sentiment among traders, sparked in large part by a new mention of Elon Musk.
Dogecoin Price Is Rising Despite bitcoin Drop
According to data from CoinMarketCap, Dogecoin's price has gained 11.44% in the last 24 hours, which is in stark contrast to bitcoin's 1% drop over the same period.
during a recent podcast In his appearance with Joe Rogan, Musk referred to “DOGE” as an acronym for hypothetical Department of Government Efficiency. While the comment may not have been directly related to Dogecoin, it resonated with the Dogecoin community, fueling enthusiasm and contributing to the asset's current rally.
Trading volume for the meme coin leader surged on Monday as investors capitalized on the hype. Dogecoin trading volume currently stands at $3.17 billion, an increase of 55.5% in the last 24 hours. Interestingly, this rally has seen Dogecoin price reverse a previous decline and also achieve positive price performance in a seven-day period.
Elon Musk has been orne of the greatest voices in support of Dogecoin for the past three years. However, it is important to note that Elon Musk's Department of Government Efficiency (DOGE) has nothing to do with the popular meme coin. In the interview with Joe Rogan, Musk explained that the reason behind the department was to reduce the complexities of federal bureaucratic processes and meaningless regulations.
What's next for DOGE?
The recent increase in trading volume and activity reiterates the unique role that social factors play in driving Dogecoin price movements. This trend could well continue in the coming months, especially if the proposal The Department of Government Efficiency ever takes shape. For now, however, this department remains a concept proposed by Elon Musk as part of Republican candidate Donald Trump's presidential campaign, and its creation depends on his success in the US presidential election.
Regardless of the outcome of the election, the broader crypto industry is expected to maintain a bullish outlook, which is likely to be led by bitcoin and not Dogecoin. Still, Dogecoin is positioned to benefit from this anticipated bullish environment and you can see additional profits for the rest of the month.
At the time of writing, Dogecoin price is trading at $0.168. The next goal IIt is breaking above $0.17 and creating a price floor at this level.
Featured image created with Dall.E, chart from Tradingview.com
