As cryptocurrency continue to soar high in value, the buzz around Bitcoin might not be dying any time soon. However, Dogecoin is migrating from meme-based cryptocurrency to the latest cryptocurrency on the trend table, rising at a speed of up to 800% in 24 hours. Hence, this article details all you need to know about Elon Musk’s favorite cryptocurrency.
Here are the things to know about Dogecoin:
Started as a joke
Launched in 2013, software engineers Jackson Palmer and Billy Markus originally invented Dogecoin as a joke. The logo of this meme-crypto has the image of a Shuba Inu dog.
While it was marketed as the “fun” version of Bitcoin, the investors were surprise to see it surged 300% after China banned banks from investing in cryptocurrencies. Thereafter, Dogecoin became popular and skyrocketed alongside other cryptocurrencies in 2017. However, in 2018, it fell along with the rest of them.
Elon Musk’s Influence
After series of viral tweets from the world richest man Elon Musk, Dogecoin is back at the top. People saw his tweet on the cryptocurrency as a recommendation. In December 2020, the world richest man tweeted “one word: Doge.”
As a result, Dogecoin surged by more than 20% after the tweet. According to TIE, the number of tweets about Dogecoin exceeded over 100,000 in the next 24 hours after Elon Musk tweet. Thus, this move was important because it is the first time another cryptocurrency has surpassed bitcoin in the social media trend.
Recently, Elon Musk also made several tweets about the cryptocurrency. As a result, there was a surge of more than 50% with Dogecoin being traded around $0.059 per coin.
According to a recent statement by Elon Musk: it would be the most “entertaining and ironic outcome” if Dogecoin “becomes the currency of Earth in the future.”
The rise of Dogecoin
People think of Dogecoin as a cultural product, rather than a financial asset. The reality is few cryptocurrency users use it in regular transaction. Instead, you feel like you’re participating in a culture if you own Dogecoin. Thus, people buy it because it’s inherently amusing, fun to have, and comes with an enjoyable community experience.
As a result, the recent sudden surge in Dogecoin’s price makes sense – especially if people keep on thinking of the cryptocurrency as a cultural product. The boost came after the share price of videogame retailer GameStop was raised from $20 to $350 within a few days by a meme-centric community. Hence, this swarm behavior certainly frightened the global financial markets because it was unlike anything seen before.
Not surprisingly, Dogecoin activities is having a similar vibe; the aim was for it to be fun right from the start. The maximum supply of Dogecoin is currently not available and it currently has a circulating supply of 128,136,378,598 DOGE coins.
Is Dogecoin the future of crypto? Only time can tell.
