Up the dog – crypto investors „weep“ for DOGE crash
Speculation around the Dogecoin is coming to an end with much disappointment, but some investors are not giving up yet.
After being lifted to lofty heights by the „power of memes“ and a collaborative push from social network Reddit, the „joke cryptocurrency“ went from an interim high of US$0.06 back to US$0.33, a crash of almost 40%.
For influencers, forumists and other Golden Profit interested investors, most of whom were first-time investors in the volatile cryptocurrency, the subsequent downturn hit them all the harder.
Doge doing what it does best, welcoming people into crypto with a huge slap in the face. https://t.co/0GpiKe4B8U
– RyanJK (@RJ_Kunz) January 30, 2021
Driven by the hype, the altcoin returned to the top 10 cryptocurrencies for the first time since 2015. New data from the crypto market research institute TheTIE proves that this surge is indeed due to the buying power from social networks.
Some observers attribute particular traction to Elon Musk’s tweets, but Dogecoin in particular also exudes an aura of anti-establishment, which was probably the right outlet for small private investors in view of the affair surrounding GameStop shares and the trading platform Robinhood.
The trading platform had temporarily stopped buying the stock, which had caused resentment among users, as it was suspected that the platform had thus caved in to high finance and protected some of its clients and investors. The forists had previously bought the security collectively, causing a so-called short squeeze that cost some hedge funds dearly.
After the halt in buying GameStop’s stock, the small investors collectively invested in Dogecoin in protest
$Doge it is.
Elon pump it.
– WSB Chairman (@AltsStreetsBets) January 28, 2021
Subsequently, however, there were problems with payouts of the „joke cryptocurrency“ on several crypto exchanges, whereupon it quickly lost value again. This in turn caused disappointment among investors. Influencer Mia Khalifa, for example, said that she had „finally gotten around to buying the dog share“, but her joy did not last long:
This is the first time I’ve ever hated a dog.
– Mia K. (@miakhalifa) January 30, 2021
Khalifa is not the only celebrity to vent her displeasure, however, as many influencers commented on the crash of the „dog currency“ on social media in near real time. Even one streamer could only watch helplessly as the DOGE plunged back into the bottomless pit:
Streamers watch their life savings crash after investing into $DOGE coin. pic.twitter.com/lxr3BqPAtq
– Crypto Whale (@CryptoWhale) January 30, 2021
The sharp drop in the value of the altcoin has prompted many investors to switch to crypto projects with more substance. Nevertheless, the hashtag #DogeToADollar is now circulating on social media, fuelled by users who do not want to give up on the „dog“ yet and instead want to initiate a second upswing to 1 US dollar.