Elon Musk's X Marketplace Sparking New Dogecoin Hype

Dogecoin ($DOGE) is once again making headlines, thanks to a move by Elon Musk's X (formerly Twitter). Following X's announcement on Sunday, October 19, 2025, of a new XHandles marketplace for buying and selling inactive usernames, Dogecoin’s price immediately jumped 5% to $0.20.

The Speculation: DOGE Payments on X?

Traders quickly linked the new marketplace to the potential for future crypto payment integration on the platform, with Dogecoin being the primary candidate due to Musk's long-standing, public advocacy for the meme coin. This speculation, despite the lack of official confirmation, was enough to ignite a surge in trading activity for DOGE. The excitement is further fueled by Musk's history with the coin, including his brief, tongue-in-cheek appointment to the non-existent "DOGE" U.S. oversight agency earlier this year.

The Market Reaction: Divided but Active

The excitement is visible in the derivatives market, which saw Dogecoin's open interest increase by 10.6% to $1.9 billion and trading volume rise by 6.2% to $4.6 billion. This indicates traders are actively taking positions.

However, the market remains conflicted:

• Bullish Sign: Approximately 70% of liquidations in the last 24 hours were short positions, totaling around $3.3 million, suggesting bears were squeezed out as the price rose.
• Bearish Caution: The long-to-short ratio remains close to 0.99, showing that bearish traders are not fully retreating yet, betting the rally may be short-lived.

The Outlook: Can DOGE Sustain the Rally?

After a significant drop from its early October high of $0.27, Dogecoin found support at $0.18 before the current bounce to $0.20. The Relative Strength Index (RSI) at 40.7 suggests a slow recovery is underway but doesn't yet confirm a major trend reversal.

• Upside Potential: Analysts believe that a breakout above $0.22 could open the door for a rally toward the $0.26–$0.28 range.
• Downside Risk: Losing the $0.18 support level would likely see the price fall back toward $0.16.

For now, the market sentiment is cautiously optimistic, with many eyes on X for any sign that Dogecoin will be integrated into its new marketplace or broader payment system. If that were to happen, the long-term dream of a $1 DOGE could gain serious momentum.

October 2025, Cryptoniteuae