Dogecoin (Doge) set a fresh record high on Wednesday, May 5 (2AM EST), smashing over US$ 0.69 apiece. The meme-inspired cryptocurrency, which is also known for its Shiba Inu dog-mascot, currently has a market capitalization of over US$ 89 billion, according to the data available on CoinDesk.
Doge skyrocketed as much as 56 per cent in the past 24 hours and is just 31 cents away from its long-awaited magical figure of US$ 1 apiece.
‘Doge to $1’ campaign was kicked off at the end of last year by a group of social media-based crypto influencers when it was still trading below US$ 0.005 per token. It has already delivered a staggering return of more than 14,500 per cent this year.
Elon Musk’s Influence on Dogecoin
SpaceX and Tesla (TSLA:US, NASDAQ:TSLA) founder Elon Musk has been tweeting about Dogecoin for a few months now, going as far as self-appointing himself as ‘The Dogefather’. Crypto traders are even betting billions on the coin ahead of his first-ever Saturday Night Live (SNL) show, set to be held on May 8 (11:30PM EST).
Thus, Dogecoin’s one-day trading value has surpassed the US$ 52-billion mark for the first time in history.
Crypto investors are looking bullish for the Tesla Technoking’s debut appearance on the SNL show this week, where he is expected to discuss Dogecoin, and this event could lead Doge to hit US$ 1 apiece. Cryptocurrency exchanges have reportedly been witnessing unprecedented Dogecoin orders that led their servers to crash.
Earlier this week, the fourth-largest crypto coin got listed on two major cryptocurrency exchanges, namely eToro and Gemini. Meanwhile, Coinbase Inc (COIN:US, NASDAQ:COIN), which is yet to list the moon-bound Doge, is said to be losing its users to Binance.
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Big Voices On Dogecoin
Apart from Elon Musk’s extravagant posts on Dogecoin, billionaire and Shark Tank investor Mark Cuban has described the crypto coin as a “better investment” than a lottery ticket.
But on the other hand, US Reserve Federal Chairperson Jerome Powell reportedly hinted at Dogecoin last week while describing the capital markets as “frothy”. Many critics also believe that Doge’s success indicates that the entire crypto market is “a joke”.
While some experts have also compared the cryptocurrency’s latest frenzied buying to the meme stock craze, crypto analysts claim that Dogecoin’s rally cannot be taken lightly as it presently values more than automaker Ford Motor Inc (F:US, NYSE:F) in terms of market cap.
Analysts also estimate that while Dogecoin may continue to rise, it may also witness a sudden fall that could wipe out all investments in one go.
The above constitutes a preliminary view and any interest in stocks should be evaluated further from investment point of view.