Key notes
- The price of Dogecoin rose 3% to $0.20 on Sunday, October 19, after Elon Musk’s X announced a new market for unused usernames.
- Traders expect Dogecoin to be integrated into XHandles payments with open interest rising by 10.62%.
- Short traders continue to dominate derivatives markets despite a rebound in prices over the weekend.
Dogecoin price rebounded 5% to $0.20 on Sunday, October 19, supported by Elon Musk’s X, as he launched a new market for unused usernames.
Dogecoin price ended its second consecutive losing week at $0.18, down 35% from its local high of $0.27 recorded on October 6. Dogecoin’s sensitivity to market sentiment has risen this month, as macro headwinds and major market liquidations contributed to its disappointing performance in the past two weeks.
Dogecoin price rises as Elon Musk’s X Marketplace sparks integration speculation
The launch of the XHandles marketplace has renewed speculation about Dogecoin integration for payments on the Musk-led platform.
According to X’s official statement, the X Handle Marketplace is set up to redistribute handles that are no longer in use. Eligible subscribers will be able to search, order and purchase unused handles.
Handles are coming…
Join the waiting list on https://t.co/78v6LhGZiz pic.twitter.com/XOa9b2lfkN
– Dealing with the market (@XHandles) October 19, 2025
XHandles has launched an official website, allowing potential users to join the waiting list before the full launch.
Elon Musk’s association with Dogecoin has been well documented over the years, heightened when US President Trump appointed him head of DOGE, the government agency’s department of financial watchdogs, in January 2025.
Having left his position in May, Musk remains active in the Dogecoin community.
Dogecoin short traders remain resilient despite recovery bets
While Dogecoin’s connection to XHandles remains uncertain, derivatives traders appear to be divided on DOGE’s near-term direction.
Coinglas data Dogecoin’s open interest shows a 10.62% rise on the day, to $1.9 billion at the time of writing, supported by a 6.19% increase in trading volumes to $4.6 billion.
Dogecoin derivatives market data as of October 19, 2025 | Source: Coinglas
Of the total $4.7 million in liquidations over the past 24 hours, short traders accounted for 70% of the losses on the day, or about $3.3 million, compared to $1.4 million from long positions.
Dogecoin’s long-to-short ratio is 0.99, indicating that bearish traders have not completely pulled back yet. This indicates that while the bulls are buying into the rally, short sellers continue to cover their positions, anticipating the rebound to be short-lived.
Speculation about Dogecoin’s potential integration into the XHandles market could fuel further bullish bets, as observed in August 2023, when X Get the payment sender Licenses across multiple US states.
With the US government shutdown impacting financial markets, derivatives market data shows that traders are anticipating more volatility in Dogecoin price movement in the coming week.
Dogecoin Price Forecast: Can Bulls Defend the $0.18 Support Area?
After a 34.6% correction from the peak of the monthly timeframe, Dogecoin rebounded 11.9% over the weekend from Friday’s lows. DOGE is currently trading near the middle Bollinger band ($0.19-$0.20), reflecting prices returning to neutral territory, recovering from the aftershocks of Friday’s $1.2 billion cryptocurrency market liquidation.
The Relative Strength Index (14) is at 40.77. At the same time, the average RSI line at 42.19 indicates moderate upward momentum but is still below the neutral 50 mark, meaning Dogecoin is still in recovery mode rather than a confirmed bullish reversal.
Trading volume stabilized at around 154.3 million DOGE, reflecting weak but steady demand after the capitulation seen in mid-October. A break above $0.22 (intermediate band resistance) could confirm the continuation of the uptrend towards $0.26-$0.28, in line with the upper Bollinger band.
Conversely, failure to hold the $0.18 support would re-expose DOGE to lower range targets near $0.16.
If momentum builds and Musk’s X Market offers reliable Dogecoin payment integration, it could potentially lead to a long-term rally toward the psychological $1 mark.
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Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to provide accurate and timely information but should not be considered financial or investment advice. Since market conditions can change rapidly, we encourage you to verify the information yourself and consult with a professional before making any decisions based on this content.
Ibrahim Ajibade is an experienced research analyst with a background in supporting several startups and financial institutions in the Web3 space. He has his undergraduate degree in Economics and is currently studying for a Masters in Blockchain and Distributed Ledger Technologies at the University of Malta.
The post Dogecoin Price Prediction: Will Elon Musk’s New Marketplace Drive DOGE to $1? first appeared on Investorempires.com.
