Key Notes

• Dogecoin price rebounds 3% to $0.20 on Sunday, October 19, after Elon Musk’s X announces a new marketplace for unused usernames.

• Traders speculate Dogecoin integration into XHandles payments as open interest rises 10.62%.

• Short traders still dominate derivatives markets despite weekend price recovery.

Dogecoin price bounced 5% to $0.20 on Sunday, October 19, boosted by Elon Musk’s X, launching a new marketplace for unused usernames.

Dogecoin price had closed its second consecutive losing week at $0.18, shedding 35% from its local top of $0.27 recorded on October 6. Dogecoin’s sensitivity to market sentiment reared its head this month, with macro headwinds and major market liquidations contributing to its underwhelming performance in the last two weeks.

Dogecoin Price Rises as Elon Musk’s X Marketplace Sparks Integration Speculation

The XHandles marketplace launch has renewed speculation of a Dogecoin integration for payments on the Musk-led platform.

According to X’s official statement, the X Handle Marketplace is set to redistribute handles that are no longer in use. Eligible subscribers will be able to search, request, and purchase unused handles.

Handles are coming…

Join the waitlist at https://t.co/78v6LhGZiz pic.twitter.com/XOa9b2lfkN

— Handle Marketplace (@XHandles) October 19, 2025

XHandles has launched an official website, allowing prospective users to join a waitlist ahead of the full rollout.

Elon Musk’s affiliation with Dogecoin has been well-documented over the years, heightened when U.S. President Trump appointed him to head DOGE, the Department of Government Agency, a financial oversight body, in January 2025.

Having left the role in May, Musk remains active in the Dogecoin community.

Dogecoin Short Traders Remain Resilient Despite Recovery Bets

While Dogecoin’s link to XHandles remains unconfirmed, derivatives traders appear split on DOGE’s near-term direction.

Coinglass data shows Dogecoin open interest up 10.62% on the day, reaching $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 Oct 19, 2025 | Source: Coinglass

Of the total $4.7 million in liquidations over the last 24 hours, short traders accounted for 70% of intraday losses, about $3.3 million, compared to $1.4 million from long positions.

Dogecoin’s long-to-short ratio sits at 0.99, indicating that bearish traders have yet to fully retreat. This suggests that while bulls are buying into the rally, short sellers continue to cover their positions, expecting the bounce to be short-lived.

Speculation on Dogecoin’s potential integration into the XHandles marketplace could fuel more bullish bets, as observed in August 2023, when X obtained payment transmitter licenses across multiple U.S. states.

With the U.S. government shutdown weighing on financial markets, derivatives market data show traders anticipated more volatility for Dogecoin price action in the week ahead.

Dogecoin Price Forecast: Can Bulls Defend the $0.18 Support Zone?

After 34.6% corrections from its monthly timeframe peak, Dogecoin has rebounded 11.9% over the weekend from Friday’s lows. DOGE currently trades near the middle Bollinger Band ($0.19–$0.20), reflecting that prices have returned to neutral territories, recovering from aftershocks of the  $1.2 billion crypto market liquidations on Friday.

The RSI (14) sits at 40.77. At the same time, the RSI average line at 42.19 suggests mild upward momentum but is still below the neutral 50 mark, implying Dogecoin remains in recovery mode rather than a confirmed bullish reversal.

Volume has stabilized around 154.3 million DOGE, reflecting subdued but steady demand after the capitulation seen in mid-October. A break above the $0.22 level (mid-band resistance) could confirm bullish continuation toward $0.26–$0.28, aligning with the upper Bollinger Band.

Conversely, failure to hold the $0.18 support would re-expose DOGE to lower-band targets near $0.16.

If momentum builds and Musk’s X marketplace delivers credible Dogecoin payment integration, it could potentially set up a longer-term rally toward the psychological $1 mark.