Tesla’s Preparation to Change Direction in 2024 Could Potentially Leave a Ripple Effect on Dogecoin

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Last Updated on December 28, 2023 by Bitfinsider

The recent business forecast from Tesla is sufficient to generate debate regarding its potential influence on the price of Dogecoin in 2024. Elon Musk, renowned for his impact on the value of the dogeball and often referred to as the “Dogefather,” is encountering competition in the automotive industry.

As recently reported, Tesla is reportedly transforming its China manufacturing facility into a prototypical ‘Model Y’ vehicle. The electric vehicle behemoth reportedly intends to begin mass production of the SUV by the middle of 2024. In the interim, Adam Jonas of Morgan Stanley predicts that 2024 will be difficult for Tesla’s automobile division.

An additional report from another source reveals that, according to forthcoming Q4 data, Chinese automaker BYD is anticipated to surpass Tesla as the largest EV manufacturer in the world. This adds another dimension to this narrative.

Regarding the performance of Dogecoin, CoinGecko describes a lackluster price movement over the past two weeks. The DOGE price is unchanged at press time, with marginal gains over the previous twenty-four hours. Notwithstanding, it maintains a substantial market capitalization of $13.24 billion, albeit 87% below its all-time high of $0.73 attained in May 2021.

The derivatives market, however, exhibits profit-taking. As of $735 million, Dogecoin has experienced a 29% decline in volume, according to data from Coinglass. As open interest increases marginally, the long-to-short ratio now stands at 0.9677. This indicates that a marginally greater number of Dogecoin accounts hold short positions compared to long positions; however, the market remains neutral in its entirety.

Tuesday’s Whale Alert signal that documented a transfer of 71 million DOGE (approximately $6.39 million) from an unidentified wallet to Robinhood is noteworthy.

With the convergence of the automotive and cryptocurrency industries facilitated by influential individuals such as Musk, the potential correlation between Dogecoin’s market performance and Tesla’s business projections continues to be a topic of curiosity. The potential interplay between these two apparently unrelated domains—the evolution of Dogecoin’s market dynamics and Tesla’s business strategies—requires further investigation.

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