Popular Elon Musk-themed crypto coins are at risk of further declines as concerns about his tenure at the Department of Government Efficiency (DOGE) have risen and the Tesla stock price has imploded. Dogecoin price has crashed to $0.1675, while Dogelon Mars (ELON) has dropped by over 80% from its highest level this year.
Tesla’s Stock Price Has Plummeted
Popular meme coins associated with Elon Musk have crashed in recent weeks as his challenges persist.
Media reports suggest that Musk clashed with several cabinet secretaries during a recent meeting, prompting Trump to intervene.
These issues, compounded by lawsuits against his department, have raised the possibility of Musk’s departure. A Kalshi poll places these odds at over 54%.
At the same time, Tesla’s stock price has plummeted by over 46% since reaching its peak last December. This drop has led to a significant loss of Elon Musk’s net worth, with Bloomberg estimating that his wealth has decreased by over $100 billion.
Tesla’s stock price plummeted because Elon Musk had been spending a lot of time on the DOGE project. Additionally, there are concerns that its sales growth has decelerated, especially in Europe.
Impact on Dogecoin and Dogelon Mars
Cryptocurrencies like Dogecoin and Dogelon Mars have thrived over the years because of their affiliation with Elon Musk. He popularized Dogecoin in 2021 and remains its most prominent advocate. Dogelon Mars is also popular because of its affiliation with Musk. Therefore, his ongoing challenges may contribute to the ongoing crash.
Dogecoin Price Prediction
DOGE price chart sourced from TradingView
The daily chart shows that the DOGE price has crashed in the past few months. It has moved from a high of $0.4850 in November to the current $0.1735. Additionally, the token has formed a death cross pattern as the 50-day and 200-day moving averages crossed each other.
On the positive side, it has formed a falling wedge pattern comprising two descending and converging trendlines. Therefore, the short-term outlook for the DOGE price is bearish. The next point to watch is $0.1500. The DOGE price will then bounce back in the coming months as the two lines of the wedge pattern converge.
Dogelon Mars Price Analysis
ELON price chart | Source: TradingView
The daily chart shows that the ELON price has been in a steep downward trend and has plunged to a low of $0.00000015, the lowest swing since November 6 last year.
The token has also formed a death cross pattern and has moved below the key support at $0.0000001517, the lowest swing on December 19. Technicals suggest that the ELON price will continue falling as sellers target the key support level at $0.0000001130.
READ MORE: Pi Network Price Loses Key Support: Can Pi Coin Crash 50%?
