What Will Happen to Dogecoin (DOGE) If Trump Loses US Elections.
NOIDA (CoinChapter.com)— Dogecoin’s price has remained relatively stagnant lately, despite its historical connection to Elon Musk, once an influential driver behind the memecoin’s market movements. The Dogefather himself hasn’t been able to spark notable rallies, signaling that the crypto market may have matured beyond mere celebrity endorsements. But now, with Musk vocally supporting Donald Trump and creating the D.O.G.E. acronym in his political banter, the crypto community may have reason to keep an eye on the upcoming election.
As Trump faces Vice President Kamala Harris in the 2024 election, Dogecoin investors may wonder what happens if Trump loses. After all, the former president, who has rebranded himself as pro-crypto, could shape the regulatory landscape for digital assets like Dogecoin. With this dynamic in play, let’s explore how a Trump loss might impact Dogecoin’s future.
Musk, Trump, and the Crypto Ties That Bind
The relationship between Elon Musk and Donald Trump, especially in the context of crypto, is worth dissecting. Initially an outspoken critic of cryptocurrencies during his first term, Trump made a significant pivot leading up to the 2024 election, becoming one of the first crypto-friendly candidates.
Moreover, Trump declared himself pro-Bitcoin and even integrated crypto donations into his campaign, branding himself as the first “crypto president.”
If Donald Trump loses the 2024 election, the repercussions will likely impact Dogecoin. Trump has positioned himself as the pro-crypto candidate and openly advocated for favorable policies toward digital assets.
Market participants remained excited about the Musk supporting Trump’s presidential bid.
The former US president’s defeat would likely bring regulatory uncertainties back to the forefront, especially with a Harris administration that may not offer the same level of support for cryptocurrencies. Additionally, a defeat for Trump would likely draw a sigh of relief from Gary Gensler’s chest.
Moreover, the shift in political power could stifle any pro-crypto momentum, creating headwinds for Dogecoin and other digital assets.
A Trump loss could also weaken Elon Musk’s political standing. Musk, who coined the very not-so-imaginative moniker of “Department of Government Efficiency” (D.O.G.E.), aligned himself with Trump’s ideas. Musk’s influence on crypto policies may weaken if Trump loses, potentially harming Dogecoin’s market sentiment.
On top of that, the market’s recent indifference to Musk’s Dogecoin-related antics shows that the memecoin is becoming more immune to hype.
However, the uncertainty of a political shift could reignite volatility for Dogecoin, especially if regulatory pressures increase. Dogecoin’s fate could hinge on whether the crypto space continues to evolve based on utility rather than hype or becomes vulnerable to external political forces once again.
DOGE Price Remains Inside Bearish Setup
A bearish setup, the ‘descending triangle pattern,‘ could add to the bearish cues against the DOGE USD pair.
DOGEUSD pair formed a bearish setup with a 58% downside target. Source: Tradingview
Analysts recognize the descending triangle as a bearish continuation pattern. The configuration features a declining upper trendline that compresses price action into lower highs, while a flat lower trendline serves as consistent but weakening support.
The pattern signals intensifying selling pressure, resulting in progressively weaker rallies that struggle to breach resistance.
In this setup, traders estimate the potential downside by measuring the maximum height of the triangle. Pepe coin’s price recently broke out of this descending triangle, only for bulls to push it back within the pattern.
However, if the DOGE USD pair confirms the bearish setup, DOGE price could plummet by nearly 61%, reaching a target near $0.04.
A breakout below the pattern in the current market climate could hurt DOGE prices, potentially resulting in losses for the trading pair.
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