Speculating on digital asset is nothing new in the digital money markets. The recent Doge price surge is nothing new in the crypto sphere. Market influencers appear to be taking advantage of the modern breed of crypto investors to pump select coins for their own gains. Elon Musk has been a strong cryptocurrency supporter but pitching for Dogecoin (DOGE) has surprised many.
Though this is not the first time for the Tesla CEO to show support for Dogecoin, the timing is just perfect and seen as a move to distract the investors from major coins and focus on the fun themed coin. He support also comes at a time when the market leader. Bitcoin (BTC) has hits its all time high.
Is Crypto Awareness Tied to Doge Price Surge?
Crypto speculators work in two way; they buy when the prices are at the lowest and hold in the hope that the price is going to appreciate. On the other hand, they jump into a coin when all indications are pointing to a rally. However, Musk’s “Dojo 4 Doge” tweet has given Doge a new link to the Tesla supercomputer.
Unfortunately, crypto goers are more aware of the speculative nature of digital currencies and the current Doge price spike might be a move to pump and dump. Musk Doge passion and the ensuing Reddit thread have exited the speculator to buy into the fun themed coin.
Social Media and Doge Price Surge
Social media is proofing to be the best channel to advertise digital currencies. However, only market influencers with huge following seem to move the market. The growing Dogecoin community has remained tight knit thanks to their social media presence. A boost from any market influencers and celebrities is always a welcome move to spur the Doge price north.
The growth of the Shiba Inu is paged on the amount in circulation and the recent call for whales to sell their coins is a clear indication its potential has been limited by speculators. Secondly, Doge offers the best entry point to for the unbanked and “hodling” now with the prospect of price appreciation is what driving the coin value up.
Is Doge Price Surge Sustainable?
With so much hype around Dogecoin, many crypto enthusiasts agree that the coin does not offer the much needed value proposition. Modern users are looking at real use cases which the ecosystem does not appear to address.
Surprisingly, Tesla has invested in Apex digital coin and shunned Doge putting the Space X founder and CEO on the spot. The resulting speculation and hype cold be responsible for the recent Doge price surge and the current slump. Are the bulls still in control of the price rally?
The last 24 hours have seen Doge price shed 8.27% against the USD to change hands at $0.05192. The drop has seen the coin slip back to rank 14 according to the CoinMarketCap portal. Should he speculation and support from market movers, social media platforms and celebrities continue, the Doge price surge might propel the coin value towards the $1 mark.