Dogecoin (DOGE) briefly surpassed Bitcoin (BTC) in terms of daily volume on Binance on January 29. Altcoin’s transaction volume exceeded $5 billion. This is a first for Dogecoin. Meanwhile, the DOGE price rose from $ 0.012 to over $0.8.
What was behind the madness around Dogecoin (DOGE)?
The meteoric DOGE rally was fueled by posts and tweets from WallStreetBets traders on Twitter and Reddit. In fact, the tweet volume surpassed BTC for the first time, reaching new record levels. The frenzy around GameStop (GME) ultimately moved to DOGE, causing massive rallies in a short time.
Immediately after seeing the DOGE rally, Bitcoin saw a spike when Elon Musk, the world’s richest man, added “Bitcoin” to his Twitter bio. Part of the profit from DOGE also flowed into BTC to increase the price, according to analyst Joseph Young. While some may think DOGE is too small to affect the price of a major cryptocurrency like Bitcoin, it quickly became the eighth largest cryptocurrency.
According to Joseph Young, DOGE trading, which sees more than $ 5 billion in daily volume, has enough capital to have a significant impact on Bitcoin’s short-term price trend.
What will happen to DOGE from now on?
Some anonymous traders and analysts believe that DOGE could experience another bull run and rise to $0.1. There are ongoing conversations on WallStreetBets and other related forums about raising DOGE for $1. One trader known as “0x_Infinitum” said :
“I THINK THERE WILL BE ANOTHER RISE IN DOGE. BIG ONE. IT WILL BE BIG ENOUGH FOR PEOPLE TO START BELIEVING IN A $1 PRICE. ”
Although DOGE is considered a “memecoin”, its recent rally has raised its value to over $ 7 billion. If DOGE rises to $1, it could become the altcoin right behind Bitcoin, based on market cap.
John Bondy is a Market specialist working for Globe Live Media since 2020. He stays up to date with all the recent movements in Market, Finance, and Business field. Usually, the Finance section is covered by Samuel Edwards, but John Bondy is no where behind when it comes to quality finance reports.