Dogecoin Price Defies Tesla’s $30B Wipeout: Is DOGE Decoupling from Elon Musk?

Dogecoin price holds steady above $0.16, showing resilience amid Tesla’s $30B stock decline and broader market volatility this week.

Dogecoin Price Stabilizes as Tesla Loses $30 Billion Amid Trump’s Tariff Shock

Dogecoin (DOGE) has stabilized above the $0.16 level, showing notable resilience despite broader volatility in the crypto and equity markets.

After briefly dipping to $0.12 last Wednesday, following former President Donald Trump’s surprise announcement of sweeping tariffs, DOGE rebounded and currently trades 4% higher from that weekly low.

DOGE resilient price performance aligns with a broader trend: top cryptocurrencies increasingly decoupling from the volatility that plagues traditional equities and commodities.

Tesla Takes $30 Billion Hit as Elon Musk Faces Political Pressure

Tesla (TSLA) stock has emerged as one of the most heavily impacted assets in the wake of Trump’s trade announcement. U.S. equities suffered a dramatic selloff, with the Dow Jones Industrial Average plunging over 3,000 points and the S&P 500 falling by 8% within five trading sessions.

As expected, Tesla (TSLA) stock price took a major hit due to Elon Musk’s prominent role in the Trump administration’s newly-formed Department of Government Efficiency.

With the electric vehicle giant thrust into political and economic crossfire, Tesla shares currently trade at $239, down 4% on the week and 10% over the past 30 days.

At a current market cap of $750 billion, over $30 billion in shareholder value has been erased since the tariffs were announced.

Is Dogecoin Price Finally Decoupling from Elon Musk’s Influence?

Against this backdrop, Dogecoin’s stability above $0.15 has raised questions: is DOGE beginning to decouple from Elon Musk’s influence?

1. Musk’s Influence on DOGE Is Fading

Elon Musk, long seen as a de facto mascot for the Dogecoin community, has historically had influence over DOGE price action.

In past years, events such as Tesla’s earnings calls, SpaceX launches, and even cryptic tweets from Musk often triggered short-term rallies in DOGE price.

But recent events suggest a shift in sentiment. In January 2025, DOGE price briefly tested yearly timeframe peaks above $0.40 after Musk’s government office teased a DOGE logo on its official site.

Speculation quickly spread that Dogecoin might be adopted for government-related transactions. However, Musk personally clarified last week that the administration has “no current intention” of adopting DOGE for official use—promptly quashing those rumors.

2. Trump Administration’s Crypto Strategy Excludes Dogecoin

Another key factor behind Dogecoin’s decoupling from Elon Musk’s influence is Trump’s private crypto interests  In March, the administration announced its “Crypto Strategic Reserve,” which conspicuously excluded Dogecoin. The move was seen by many as a sign that DOGE would not receive institutional or governmental support.

Adding to the sentiment, Trump launched his own memecoins—TRUMP and MELANIA—during his inauguration.

These tokens, alongside WLFI, a pro-Trump crypto PAC, have since dominated the altcoin narrative, effectively crowding out Dogecoin from the political meme coin arena.

This exclusionary stance diminishes the likelihood that Dogecoin will receive direct endorsements or adoption from the current administration, despite Musk’s presence within it.

3. Dogecoin Remains Insulated from Tesla’s Trade War Risk

Dogecoin’s price resilience also stems from its insulation from the economic risks now weighing on Tesla.

While Tesla faces serious exposure to retaliatory tariffs from major trade partners like China and Canada—threatening its supply chain and Q2 earnings—Dogecoin operates independently of such traditional business cycles.

The memecoin’s lack of ties to physical goods, manufacturing, or logistics shields it from geopolitical shocks that affect multinational corporations.

As a result, DOGE appears increasingly insulated from Tesla’s financial performance and the broader trade war fallout.

DOGE Price Forecast: $0.15 support cluster must Withstand Short-term Risks

Dogecoin’s stable price action this week, despite Tesla losing $30 billion in market value, signals a maturing market dynamic. Investors are beginning to view DOGE as an asset less exposed to Elon Musk’s influence and more driven by its own market fundamentals.

From a technical standpoint the current Dogecoin price forecast signals lean neutral-to-bearish.

After a brief 5.14% recovery over three sessions the two consecutive red candles that followed now put the immediate support at $0.15 at risk.

Since closing Friday at $0.16, Dogecoin struggles to hold above the 20-day EMA resistance at $0.17. This rejection at the moving average signals insufficient buying pressure to drive the next leg-up.

Beyond that, Dogecin trading volumes remains flat at 402.82 million DOGE, showing weak conviction from bulls.

The True Strength Index (TSI) also slipped to -0.82, a clear sign of continued bearish momentum. With TSI below the zero line, a downside continuation is likely if demand doesn’t resurface soon.

If bears push below $0.15, the next downside target lies at $0.142—where DOGE last found support on April 3. On the upside, bulls must reclaim the $0.17 level to target the stronger resistance cluster between at $0.20, near the 50-day EMA.