DOGE, the meme currency, has become a fever among new investors in the crypto market
After the DOGE price rose to 0.4358 on DogeDay, it was corrected to just under 0.27. At the time of writing, DOGE is trading around $ 0.314, with a market value of $ 38.75 billion.
At one point, Dogecoin’s market capitalization became greater than that of Ford Motor Co. and Kraft Heinz Co. – and almost equal to that of Twitter Inc.
Amid this price action, Robinhood reduced the minimum order size from 10 DOGE to 1 DOGE.
At the same time, the minimum order size for Bitcoin and Ethereum has also been reduced to 0.000001 BTC and 0.0001 ETH, both worth less than a dollar, to make it “easier for anyone to invest in cryptocurrencies”.
During the celebration of the day known for marijuana use, Dave Portnoy also bought the token with the Shiba Inu theme amid the frenzy created by social networks. Portnoy bought bought $ 25,000 in DOGE.
– Dave Portnoy (@stoolpresidente) April 20, 2021
According to Mike McGlone of Bloomberg, this irritating frenzy is the result of a “perfect storm” of pandemic lockdowns, the ability of investors to speculate all the time – cryptography works 24 hours a day, 7 days a week, in contrast from the traditional market – and a lot of money in the system.
As we have seen, the younger generation has been using TikTok to push DOGE to the moon and is determined to take it to $ 1 or even more.
“There is a tribe of investors, many of them generation Y, who see this as a cause, a movement,” said Antoni Trenchev, co-founder of cryptocurrency firm Nexo.
“Dogecoin is a symptom of the zeitgeist happening before our eyes.”
However, the biggest problem with DOGE is the concentration of its offer and its emission rate.
– Alistair Milne (@alistairmilne) April 20, 2021
According to Bitinfocharts, an address has 28.5% of the coin stock.
In addition, the cryptocurrency that started with 100 billion coins in circulation has an annual inflation of 5 billion coins each year, which means that about 13.7 million coins are being added to the market each day. At the time of writing, 130 billion DOGE are in circulation, compared to just over 66 billion in April 2014.
Source: BTC EG