Dogecoin was launched in 2013 based on the popular “doge” meme at the time which involved a Shiba Inu dog. The crypto asset originally founded as a joke has shocked many with its gigantic price movement over time.
Changpeng Zhao, CEO of Binance, recently stated that Dogecoin is “probably and measurably the most successful joke in history”.
On Jan 29, Dogecoin had an explosive upswing to reach record highs of $0.0736 after a Reddit board talked about making it the cryptocurrency equivalent of GameStop.
Within 24 hours, DOGE’s trading volume went ballistic, increasing to $31.6 million at the time. Dogecoin briefly entered the list of top 10 crypto assets for the first time since 2015. Dogecoin-related tweets also surpassed those of Bitcoin, making it the first time an Altcoin has been tweeted more than BTC.
The pump in social media mentions began on January 28 when DOGE surged from beneath $0.0073 support. Following the surge of assets such as GameStop (GME), AMC Entertainment (AMC) stocks, and Dogecoin (DOGE), crypto exchange FTX listed an index based on the assets. FTX named the index after Wall Street Bets, the Reddit group thought to be associated with pumping the prices of those assets.
DOGE meteoric rise to $0.0736 put the dog-themed asset into the spotlight. World’s richest man, Elon Musk tweeted out a picture of a magazine cover of “Dogue” — a play on popular fashion title “Vogue.” The post showed a picture of a dog, which some Reddit users took as the billionaire supporting the rally.
Some analysts believe that Dogecoin’s surprise rallies tend to signal the start of a new Altseason while stating that all the previous Altcoin bull markets have somehow started after an unexpected DOGE price action. Notably, some selected Altcoins such as TRON (TRX), Verge (XVG), Ethereum (ETH), FTX Token have performed incredibly well since the surge in DOGE price.
‘NebraskanGooner’ a crypto trader and analyst stated that Dogecoin’s impact on other Altcoins can be explained. In his words, Dogecoin attracts investors who join the boat ride for fear of missing out (FOMO). However, when they reach the boat, the Dogecoin ship has far sailed into the deep seas. Therefore they are left with no choice but to seek other assets with often mid to low market valuations to pump and dump.
The entire crypto market reverberated with the sudden spike in DOGE price bringing on the much desired bullish mode. Many analysts expect that Dogecoin will shine among other Altcoins to subsequently reach new highs in 2021, even touching $1 in the process.
An analyst is known as Pentoshi who predicted ahead of the DOGE shocking rally noticed the trend the asset has exhibited since 2014. If history rhymes in this present bull run, DOGE price might rally to fresh high levels or might even reach $1 in 2021.
Image Credit: TheTIE, Shutterstock
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
