TL;DR Breakdown
- Dogecoin has gained ground due to Elon Musk’s tweets
- A group on Reddit bets on Doge and increases its value by 600%.
Dogecoin has become the most popular and rare cryptocurrency on the market. The Dogecoin price is hovering around $50 billion today, which is incredible for an asset that was a joke.
The digital currency is ranked number five in the crypto market, as claimed by CoinMarketCap. The increase of Dogecoin has exceeded limits reaching over 6,000% in 2021.
The DOGE price doubled again on Friday after Tesla CEO Elon Musk tweeted for the umpteenth time. DOGE demand rose so high in April that threw Robinhood’s trading system out of balance.
What is the Dogecoin cryptocurrency?
Like all cryptocurrencies, Dogecoin can be bought and sold as an investment. Although all cryptocurrencies are special, DOGE bears a resemblance to the Litecoin blockchain. Doge has more than 129 thousand tokens circulating and plans to issue more.
Even though cryptocurrencies have had global acceptance for the purchase of goods, Dogecoin is not widely used. Doge has niches in the market; it is even used for tips from artists on the internet.
The main difference that sets Dogecoin apart from other cryptocurrencies is that it looks like an extravagant coin, taken as a joke. A Reddit group raised a lot of money in Dogecoin for charity, even funding a Nascar pilot.
Dogecoin beginnings
Dogecoin was created on December 6, 2013, by some software developers as a joke. IBM programmer Billy Markus prepared to differentiate his crypto from other cryptocurrencies, which was mysterious, anonymous and appealing to some miners. Chohan highlights that “Markus wanted his digital asset to be open source, active for the masses.”
The young developer sought help to make his dream come true by locating Jackson Palmer, who worked at Adobe. Palmer did business for the “dogecoin.com” domain, which was trending for the “doge” meme.
As expected, the developers winked at the origin of the digital currency. These founders placed the Shiba Inu mascot as part of the Dogecoin image.
Why did DOGE gain such popularity?
DOGE’s jokes are a thing of the past. Suddenly gaining popularity, it is “astronomical,” driving their trend towards adopting another asset for many cryptographers.
Elon Musk is undoubtedly the promoter of this uptrend surrounding Dogecoin. His tweets, which are aimed at over 50 million followers, cause the increase in DOGE. In April, Tesla SEO tweeted, “Doge is barking at the moon,” headlining a painting by artist Joan Miró.
Dogecoin is also enjoying good status on Reddit, where a team pushed its price “to the moon,” as Musk pointed out. With this move, Doge rose 600% on a simple impulse.
Doge can be a smart investment or a total waste of money; it is questionable depending on who you ask. Bitcoin has better commercialization and global acceptance, while Doge is the opposite, giving you few guarantees. Although Doge has investment risks, its increase in what was 2020-2021 should not be ignored.
