Dogecoin Price Prediction: As Elon Musk Proposes A $5,000 “DOGE Dividend” For Taxpayers, Traders Flock To This ICO Offering Free Bitcoin

The Dogecoin price experienced a moderate increase of over 1% in the past 24 hours, currently trading at $0.2532 as of 03:28 a.m. EST. This slight uptick occurred despite a 6% decline in trading volume to $1.3 billion.

Elon Musk, the influential figure behind Dogecoin, hinted at the possibility of discussing a "DOGE Dividend" proposal with President Donald Trump. The proposal would involve distributing a $5,000 refund check to taxpayers funded by savings from DOGE.

Dogecoin Price Analysis:

After a significant rally in late 2024, where prices surged from below $0.10 to nearly $0.45, Dogecoin entered a distribution phase. The price consolidated before breaking down.

A key support zone exists around $0.30, where demand previously held strong. However, this support was breached, leading to a correction towards the 200-day Simple Moving Average (SMA) at $0.2361. The Dogecoin price is currently hovering above this long-term support.

The 50-day SMA at $0.3191 acts as a dynamic resistance level, while the orange resistance line at $0.45 marks the previous peak. Reclaiming this level would signal a resumption of bullish momentum.

The Relative Strength Index (RSI) stands at 36.88, indicating that DOGE is nearing oversold conditions. An RSI drop below 30 could suggest extreme bearish sentiment, potentially leading to a short-term bounce.

Dogecoin Price Prediction:

DOGE is in a retracement phase, testing support around the 200-day SMA. Buyers stepping in could trigger a short-term bounce towards $0.30 – $0.32, where resistance lies.

A failure of the $0.2360 support could lead to further decline, with the next support level at $0.20. For a bullish reversal, DOGE must reclaim the support range of $0.30 – $0.33.

Disclaimer:

The information provided in this article should not be construed as financial advice.