Is DOGE on its way to the moon? And what is fueling its rocket?
With an out-of-this-world performance in the past 10 days, Dogecoin (DOGE) surged to a new all-time high at $0.45. After a 15% correction, it is currently trading at $0.38. DOGE is holding on to its spot as the fifth largest cryptocurrency by market capitalization, leaving Cardano (ADA), Polkadot (DOT) and Litecoin (LTC) in its shadow. Interestingly, Dogecoin’s valuation has now surpassed those of the traditional financial institutions like ING, Barclays and Credit Agricole.
While it is questionable whether or not there are any (strong) fundamentals behind DOGE and its take off, there are a few ways to explain it.
Elon Musk
It is important to note that the price of a cryptocurrency can easily skyrocket when a public figure or influencer tweets about a less liquid coin. In the case of DOGE, we have probably the best influencer you can get. One of the best-known people in the world is an outspoken fan of the coin. Enjoying the ‘fun’ element that DOGE brings to this world, world’s second-wealthiest person alive and CEO of Tesla and SpaceX, Elon Musk has frequently tweeted about the meme-driven cryptocurrency.
Doge Barking at the Moon pic.twitter.com/QFB81D7zOL
— Elon Musk (@elonmusk) April 15, 2021
https://platform.twitter.com/widgets.js
Back in February Musk called DOGE the “people’s crypto”
Dogecoin is the people’s crypto
— Elon Musk (@elonmusk) February 4, 2021
https://platform.twitter.com/widgets.js
There is another “influencer” in the shape of Dallas Mavericks owner Mark Cuban. He has often also publicly promoted DOGE. The Dallas Mavericks offer the cryptocurrency as a payment method for its merchandise.
FYI, the Mavs sales in @dogecoin have increased 550pct over the past month. We have now sold more than 122k Doge in merchandise !
We will never sell 1 single Doge ever. So keep buying @dallasmavsshop https://t.co/li32cdtcED
— Mark Cuban (@mcuban) April 14, 2021
https://platform.twitter.com/widgets.js
The general increase in the momentum of the altcoin market has also played a major role in igniting Dogecoin’s overall momentum throughout this month.
Lastly, its popularity can also be contributed to the increasingly growing positive sentiment around crypto in general. In addition, the mainstream attention that DOGE is receiving by frequently making the headlined in the news is a factor. The latter with a big ‘Thank You’ to Elon Musk for making the coin newsworthy.
Rooting for $1
The Dogecoin community is rooting for a $1 target. With a current supply of 129.6 billion, DOGE would be valued at $129.6 billion. This seems insane for a coin that does not have many uses and many consider to lack any strong fundamentals other than excellent PR. Given such price per coin it would nestle itself comfortable in third position behind Ethereum (ETH) and Bitcoin (BTC).
So while it might seem illogical for DOGE to really shoot to the moon, with its track record we also must not be ruling it out. With the DOGE anything is possible.
Want to start trading DOGE and join in on the fun. We recommend FTX trading platform. Start your journey here.
The post Is DOGE on its way to the moon? And what is fueling its rocket? appeared first on iGaming.
Source: igaming
