Elon Musk’s Tweets Push Dogecoin Up 36%, Sends Token On Path To 86% Gains.
NOIDA (CoinChapter.com) — Dogecoin (DOGE) surged by approximately 36% week-to-date, reaching $0.147 on Oct. 19, its highest level in three months. This jump came during a broader crypto market rally, where Bitcoin (BTC) and Ethereum (ETH) posted smaller gains.
However, the sharp DOGE increase appears driven by its ongoing association with billionaire entrepreneur Elon Musk, who recently tweeted about the memecoin, sparking further speculation around its price trajectory.
DOGE’s Whims Tied to Musk’s Influence
Dogecoin’s price remains sensitive to Elon Musk’s statements, with its recent surge largely tied to the billionaire’s Oct. 15 tweet, “D.O.G.E will fix it,” in response to California’s restrictions on his SpaceX operations.
The market quickly reacted, pushing DOGE’s price higher. Just two days later, Musk doubled down on the narrative during a town hall event where he discussed a potential “Department of Government Efficiency” (D.O.G.E.), a government body tied to Trump’s campaign proposals.
Musk mentioned DOGE, though indirectly, in a recent town hall.
The memecoin’s price jumped nearly 9% following Musk’s direct mention of DOGE during the event. This confirms that despite being a decentralized token, Dogecoin’s price action remains disproportionately influenced by Musk’s public comments and online presence.
Although the memecoin’s sensitivity to Musk’s whims and posts has decreased over the years, the fact remains that the Tesla founder still has a strong hold on the canine-themed memecoin.
With the token already up 25% this week, it showcases the ongoing power of speculative hype over actual utility, a trend that has been a hallmark of DOGE price movements since 2021.
Dogecoin’s dependence on Musk raises concerns about the sustainability of its rally, as its success hinges more on Musk’s whims rather than underlying market fundamentals.
DOGE Price Breaks Out Of Bullish Pattern
The DOGE USD pair broke out of the ‘falling wedge‘ pattern, which is a bullish technical setup. The token would need to break past the $0.15 price mark to generate any trust in the current breakout.
DOGE USD pair formed a bullish setup with an 86% upside target. Source: Tradingview
Two converging downward trendlines that connect lower highs and lower lows form the falling wedge, a bullish reversal. The narrowing structure shows that, despite the ongoing downtrend, the bearish momentum is gradually weakening, often preceding an upward breakout.
The key feature of a falling wedge is that the slope of the lower trendline is steeper than that of the upper trendline, indicating that selling pressure is dissipating. When the breakout occurs—typically upward—it signals buyers taking control.
To estimate the potential price target after a breakout, traders measure the vertical distance between the widest points of the wedge and project that range from the breakout point upwards. Increased trading volume during the breakout confirms the strength of the reversal, reinforcing market confidence and the likelihood of success.
According to technical analysis rules, Dogecoin price might rally nearly 84% from its current level to reach the pattern’s projected target of around $0.25.
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