(Kitco News) - As the wider crypto market trades flat in anticipation of tomorrow's Federal Open Market Committee meeting, where the Fed will announce the latest interest rate hike, Dogecoin (DOGE) and the meme coin class of tokens have bucked the trend to climb higher thanks to Twitter’s new CEO Elon Musk.
Musk has long been a supporter of cryptocurrencies, and Dogecoin in particular, and the new “Chief-Twit” is well known for using the popular social media site to drop bullish DOGE memes and provide subtle insight into his future plans with the cryptocurrency.
Just yesterday, on Halloween, the SpaceX CEO tweeted out the following pic of a Shiba Inu dog wearing a Twitter shirt, subtly implying that DOGE could soon find itself integrated with Twitter as a form of payment.
— Elon Musk (@elonmusk) November 1, 2022
In the time since Musk posted the above Tweet, DOGE price spiked from $0.125 to an intraday high of $0.1571, an increase of nearly 27% in less than 24 hours. Following a bout of profit-taking amid weaker conditions in the wider market, DOGE has pulled back to support at $0.139.
DOGE/USD 4-hour chart. Source: TradingView
The outlook for DOGE has been further bolstered by the rumors of some of the future plans that Musk has for Twitter, including charging $20 a month for blue checkmark badges. Some have speculated that DOGE could be used to pay for this service, giving it a steady payment use case that could help support its price.
The fact that both Tesla merchandise and tickets on the Las Vegas Loop by Musk’s Boring Company can be purchased using DOGE further supports this theory.
Meme coins trend higher
It's not just DOGE that has benefitted from Musk’s antics as the top meme coin could be considered “leader of the pack,” and where it goes, so goes the rest of the bunch.
Over the past seven days, multiple meme tokens have seen their prices charge higher as excitement for DOGE led many to speculate on a breakout in other popular dog-themed coins.
Some of the biggest gainers include Dogelon Mars (ELON) – a token that was obviously created with Musk in Mind – which put on a gain of 78.64% over the past week, and Samoyedcoin
(SAMO), which has increased by 37.5%.
Last year's breakout star Shiba Inu (SHIB) likewise joined in on the fun, with its price surging 55% from a low of $0.0000098 on Oct. 25 to a high of $0.0000152 on Oct. 29. At the time of writing, SHIB is trading at $0.0000129.
In early 2021, as the crypto market was just beginning to gather momentum, DOGE emerged as a market leader and helped drive enthusiasm for the entire asset class higher. Musk also played an active role at that time, and many are now watching to see if a similar scenario will play out.
With Musk just getting started in his involvement as the owner of Twitter and actively dropping hints about the integration of a crypto wallet into the social media platform that include pictures of Shiba Inu’s, there is a good chance that the rally for DOGE is just getting started, and the meme coin sector could be in for another breakout year.
