Dogecoin is now far from its all-time high of $0.7 which was sparked by billionaire Elon Musk aggressively promoting what he calls his “favorite” cryptocurrency. However, as the meme coin continues to decline, even with the current bullish sentiment, there is always the possibility that Musk will resume his very public support for Dogecoin.
Can Elon Musk recreate 2021 for Dogecoin?
The influence of Elon Musk on the Dogecoin community and the price of the coin even by extension is still very important. The mere fact that Musk bought Twitter caused DOGE’s price to skyrocket by more than 150% in a matter of days. But so far, the billionaire hasn’t spoken much about cryptocurrency.
However, looking back to early 2021 when Musk religiously posted about Dogecoin, one can’t help but wonder what would happen if he started doing it again. Considering DOGE’s current price position relative to where it was in 2021 before Musk started posting about it, the price of the meme coin would quickly reach a new all-time high.
As Bitcoinist reported, the price of DOGE has increased by more than 70,000% in 2021 due to Musk’s shilling. This took the altcoin from $0.0011 to $0.78 very quickly. Starting from the current price trend, a similar pattern would see the price of DOGE quickly break above $5. While another 70,000% rally would put the price above $60.
While $60 might not be realistic at this point, another consistent push from Musk can easily put Dogecoin ahead of the rest of the market. Even if DOGE’s price does not reach expected prices, it will certainly reach new all-time highs if Musk puts his full weight back into it.
DOGE price trending at $0.089 | Source: DOGEUSD on TradingView.com
Implications for DOGE and other Meme Coins
The implications of such a move by Elon Musk are very obvious for Dogecoin, but it will spill over to other meme coins as well. It can rightly be said that Musk’s shilling of Dogecoin is the trigger for the impressive 2021 coin season and could trigger another one.
Pieces such as Shiba Inu and Baby Doge will easily see an advantage if DOGE starts to rally. Indeed, investors will flock to other meme coins, thinking they missed the boat on Dogecoin, but not wanting to miss any others.
Overall, Musk’s support of Dogecoin will not only work in favor of the meme coin but also for the entire crypto market as his influence attracts new participants into the crypto space.