Dogecoin

Dogecoin price briefly grazed $0.09 on Jan. 12, up 13% since Elon Musk’s X announced plans to launch a P2P payment platform earlier in the week.&nbsp; 
On Jan. 9, Elon Musk’s social media giant X issued a blog post titled “Transforming the Global Town Square” outlining a roadmap for 2024. In addition to deepening artificial intelligence (AI) integration for advertising, X also mentioned plans to launch peer-to-peer payments functionality. This positive reaction triggered a Dogecoin (<a href="https://crypto.news/price/dogecoin/">DOGE</a>) price reaction.&nbsp;&nbsp; 
<blockquote class="wp-block-quote"> 
 We will launch peer-to-peer payments, unlocking more user utility and new opportunities for commerce, and showcasing the power of living more of your life in one place. <cite>– X.com, Jan. 9</cite>
</blockquote> 
<figure class="wp-block-image size-full">
 <img loading="lazy" decoding="async" width="2580" height="990" src="https://crypto.news/app/uploads/2024/01/DOGEUSD_2024-01-12_08-35-15.png" alt="Dogecoin (DOGE) Price Reacts as Elon Musk’s X teases P2P Payments " class="wp-image-14237571">
 <figcaption class="wp-element-caption">
 Dogecoin (DOGE) Price Reacts as Elon Musk’s X teases P2P Payments | Source: <a href="https://www.tradingview.com/x/PSRPQ08Q/" target="_blank" rel="noreferrer noopener">TradingView</a>
 </figcaption>
</figure> 
Elon Musk’s and X’s affinity with Dogecoin has been well documented over the years, with the DOGE <a href="https://crypto.news/elon-musk-adds-dogecoin-symbol-to-his-bio-on-twitter/" target="_blank" rel="noreferrer noopener">logo momentarily added</a> to the website in 2023. 
In effect, X’s newly unveiled plans to launch a <a href="https://crypto.news/glossary/peer-to-peer-p2p/" data-type="cn_glossary_term" data-id="14083181" target="_blank" rel="noreferrer noopener">P2P network</a> have triggered speculation that the social media giant could leverage the Dogecoin network.&nbsp; 
The chart from TradingView depicts that the DOGE price has bounced 13% within days of the blog post.&nbsp;However, on-chain data movements suggest the rally could be short-lived. 
 You might also like: <a href="https://crypto.news/glossary/peer-to-peer-p2p/"> Peer-to-Peer (P2P) </a> 
<h2 class="wp-block-heading" id="800-million-dogecoin-sell-orders-could-truncate-price-rally">800 million Dogecoin sell orders could truncate price rally&nbsp;</h2> 
After the 13% rally that saw Dogecoin reclaim $0.09 territory on Jan 11, DOGE price has retraced below the $0.084 mark at press time on Jan 12. A deeper inquest into the on-chain data trends shows that the dominant sentiment across Dogecoin markets is still bearish, despite the recent price upswing in the aftermath of X’s unveiling official plans to launch peer-to-peer payment.&nbsp; 
IntoTheBlock’s aggregate exchange order books data sums up the value of a specific cryptocurrency’s active buy and sell orders listed across various exchanges.&nbsp; 
The chart below illustrates that currently, DOGE traders have listed orders to sell off 798 million DOGE. On a concerning note, this far outweighs the active buy orders of 752.4 million DOGE.&nbsp; 
<figure class="wp-block-image">
 <img loading="lazy" decoding="async" width="1600" height="740" src="https://crypto.news/app/uploads/2024/01/image-39.png" alt="Dogecoin (DOGE) Aggregate Exchange Order Books " class="wp-image-14237682">
 <figcaption class="wp-element-caption">
 Dogecoin (DOGE) Aggregate Exchange Order Books | Source: <a href="https://app.intotheblock.com/coin/DOGE/deep-dive?group=exchanges&amp;subgroup=order-books&amp;chart=market-depth" target="_blank" rel="noreferrer noopener">IntoTheBlock</a>
 </figcaption>
</figure> 
When the ‘Sell/Ask’ side of the order books towers higher than the Buy/Bid side, as depicted above, it implies that market momentum is leaning bearish.&nbsp; 
Dogecoin sell orders currently outnumber the buy orders by 48 million DOGE. Intuitively, when the market supply for an asset outpaces demand by such a substantial margin, it puts downward pressure on price.&nbsp; 
The current spot market dynamics point towards an imminent DOGE price correction.&nbsp; 
<h2 class="wp-block-heading" id="losing-the-0-07-support-could-catalyze-major-losses">Losing the $0.07 support could catalyze major losses</h2> 
DOGE price appears to be at risk of a major price correction, drawing inferences from the exchange order books trend analyzed above. But to validate this outlook, the bears must scale the initial support buy-wall around $0.07.&nbsp; 
IntoTheBlock’s Global In/Out of the Money (GIOM) data groups the current DOGE-funded wallets according to their historical entry prices. It depicts that 568,880 addresses had acquired 46.9 billion DOGE at an average price of $0.072. Notably, this is the largest cluster of current Dogecoin holders below the current prices.&nbsp; 
A move below that $0.72 support level could trigger panic and possibly catalyze larger losses.&nbsp; 
<figure class="wp-block-image">
 <img loading="lazy" decoding="async" width="1600" height="490" src="https://crypto.news/app/uploads/2024/01/image-38.png" alt="Dogecoin (DOGE) Price Forecast, Jan. 2024 " class="wp-image-14237681">
 <figcaption class="wp-element-caption">
 Dogecoin (DOGE) Price Forecast, Jan. 2024 | Source: <a href="https://app.intotheblock.com/coin/DOGE/deep-dive?group=financials&amp;chart=inAndOut" target="_blank" rel="noreferrer noopener">IntoTheBlock</a>
 </figcaption>
</figure> 
Alternatively, the bullish traders could invalidate this pessimistic forecast if the DOGE price scales to the $0.10 territory. But in this scenario, the $0.095 resistance could mount a major obstacle.

Dogecoin price bounces 13% as Elon Musk’s X teases P2P payments

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