Whenever Elon Musk mentions DOGE, the price just shoots up. He says "DOGE," and suddenly, we're all talking about it again, like this morning's 9% rise to over $0.13. People seem to trust Musk's influence, especially in crypto.
The connection between Musk and Dogecoin is not new.
We've seen this before, Musk hints at integrating DOGE payments, and boom, the price rallies. Remember when Tesla accepted Dogecoin and it became a big deal for a moment? Yeah, for a moment, because Dogecoin's rise always seems to fade, no matter how much hype surrounds them.
This time around, the Relative Strength Index (RSI) shows DOGE might be overbought. That simply means the price could drop after this recent spike. Yet some analysts believe DOGE could reach crazy heights like $10 per coin.
For that to happen, Dogecoin's market cap would need to arguably hit $1.4 trillion, which is technically unlikely when even Bitcoin isn't there yet.
I love a good rally no doubt, but I'm cautious. Musk's influence is powerful, but I don't think it's enough to sustain the long-term growth of DOGE, in my opinion.