Dogecoin Price May Hit $0.5 As Elon Musk Refutes DOGE Lawsuit Concerns

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Dogecoin price has been on the investors’ radar today with a surge of over 8%. Notably, the recent jump in DOGE value could be attributed to several factors including whale activity, growing institutional focus, and other related factors. Besides, Elon Musk has also refuted concerns over the recent lawsuits against Department of Government Efficiency (D.O.G.E.), which has further bolstered market sentiment.

Elon Musk Refutes DOGE Lawsuit Concerns

The Dogecoin price jump can be attributed to several factors, including Elon Musk’s reassurance regarding the lawsuits against the Department of Government Efficiency (D.O.G.E.). Musk’s comments have bolstered market sentiment, potentially driving the meme coin’s price higher.

The D.O.G.E. faced legal challenges just after Donald Trump’s inauguration on January 20, with a US watchdog group alleging violations of federal transparency laws. Interestingly, the DOGE price also took a hit just after the development as investors grew concerned. However, recent comments from Elon Musk appear to have relieved the investors, while potentially pushing the meme coin’s price higher.

For context, Elon Musk has recently shared an update on X which showed that DOGE has faced three lawsuits. Sharing the update, the tech mogul jokingly said:

“Can someone start a lawsuit counter? How long until we hit triple digits?”

Besides, Musk also recently said that “We’re going to take DOGE To Mars”, which has fueled investors’ confidence. Although, the remark was not directly related to Dogecoin, Musk’s previous backing for the meme coin has fueled speculations.

Meanwhile, here we discuss several other catalysts that might have fueled the recent rally of the meme coin.

Why Is Dogecoin Price Rising Today?

Bullish Crypto Market Sentiment

The broader crypto market recorded a strong rally today, indicating a bullish sentiment hovering in the market. Notably, as of writing, the global crypto market cap soared 3.5% to $3.63 trillion, with most of the top altcoins noting significant gains.

Bitcoin price was up around 3.2% and exchanged hands at $105.5K, while altcoins like Ethereum, XRP, Solana, and others, also recorded a robust surge. The meme coins segment also showed a similar performance, indicating the growing confidence of the investors towards the risk-bet assets.

DOGE Whale Buying

The Dogecoin whales are also on a buying spree, which has supported the recent rally of the meme coin. In a recent X post, popular market expert Ali Martinez said that the whales or large investors had purchased around 590 million DOGE recently, indicating strong confidence of the traders.

Meanwhile, this report contradicts the previous sentiment that whales had offloaded their holdings after the lawsuit. For context, a DOGE whale has recently dumped $140 million in Dogecoin, which has sparked concerns over a potential end to the meme coin frenzy.

Dogecoin Price Soars Amid ETF Filings

The recent ETF filings for the meme coin have further bolstered market sentiment. Recently, REX Shares, in collaboration with Osprey, has filed S-1 filings with the US SEC to launch a flurry of crypto ETFs.

According to recent reports, the asset manager has filed for XRP, SOL, BONK, and DOGE ETFs with the regulators. Besides, it also included an application to offer the newly launched meme coin, TRUMP ETF to institutional investors, which showcases the soaring confidence towards the meme coins space.

D.O.G.E. Featuring Dogecoin Logo

Donald Trump has recently signed an order to launch the Department of Government Efficiency, which has sparked market optimism. Notably, the acronym of the department resembles with Dogecoin ticker. As a result, the developments of the department often influence the Dogecoin price.

Having said that, the official website of D.O.G.E. featuring a Dogecoin logo has fueled market sentiment recently. It appears that this inclusion of the image has further cemented bets over a potential DOGE rally ahead.

Dogecoin Price To Hit $0.5?

DOGE price today surged 8.02% during writing and traded at $0.37 with its one-day trading volume jumping 17% to $8.46 billion. Notably, the crypto has touched a 24-hour high of $0.4, indicating strong market confidence. Besides, CoinGlass data showed that DOGE Futures Open Interest rose 6% to $4.96 billion, reflecting the bullish market sentiment.

Amid this, market analyst Ali Martinez has shared a bullish forecast for the meme coin. According to Martinez, Dogecoin price is maintaining its position above “the breakout zone” and showing resilience. Having said that, he predicted a potential rally for the crypto ahead to $0.5.

Echoing a similar sentiment, another market expert Rose Premium Signals also shared a bullish prediction. In a recent X post, the analyst has set three targets to watch for the Dogecoin price. According to the expert, Dogecoin price is gearing up for a strong rally and will hit $0.48 first, before a potential breakout to $0.57 and $0.66.