After Elon Musk submitted “Literature Moon” to the DOGE Bulls, Dogecoin rally

Dogecoin rose on Thursday after Elon Musk promised to send the meme cryptocurrency to the moon.

The billionaire entrepreneur said on Twitter that SpaceX, the space technology company he owns, will bring “literary Dogecoin to the real moon.” This secret message was ignored to introduce how and why, but it was strong enough to send a bullish signal in the Dogecoin market. As a result, the price of DOGE/USD skyrocketed.

As of 0800 UTC, the currency pair was trading at $0.071, a 33.94% increase from its intraday opening price. Obviously, due to the arrival of April Fool’s Day, traders played a disproportionately prank on Mr. Musk’s tweets.

The price of Dogecoin rose on April Fool’s Day. source: DOGEUSD on

Dogecoin is notorious for experiencing massive gains due to unprofitable factors.Last July, TikTok viral video Urges day traders to increase bids for DOGE/USD To $1. The sly guy pumped up the currency pair by 155% in just three days of trading, and was therefore able to raise the currency pair to 0.005. After a buying spree dominated by social media, it fell by more than 50%.

A similar viral movement occurred in late January 2021. Dogecoin bulls pushed the price 1,299% higher in just two days of trading. Imitators rallyInspired by the leadership of Redditors GameStop stock buying frenzy.

The intraday rally came from the same mischievous bulls-on the day of celebrating the mischief.

Dogecoin pump or future dump?

The Dogecoin rally on April Fools’ Day poses a huge risk for traders who want to enter the intraday highs of the cryptocurrency market. The obvious lack of specific upward catalysts, coupled with the potential liquidity crisis, indicates that there will be a lot of profit-taking in the future. In short, only traders who have the courage to take risks can venture into the Dogecoin market.

Dogecoin started to collapse. Source: DOGEUSD on
Dogecoin started to collapse. Source: DOGEUSD on

As of press time, DOGE/USD has fallen from intraday highs. Before the US market opened, it fell 15.52% and broke the $0.06 support level, bringing it back to the support level. The next downside target appears near the resistance level of $0.05 in mid-March.

photographer Maciej (Maciej Ruminkiewicz) on No splash

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