Retail investor demand is high, Dogecoin is up 192%
Incredibly, the Dogecoin price keeps flying. As of 21.04 WIB, the price of Dogecoin was up 193.02% at US $ 0.3829 per DOGE.
Market participants expect the Dogecoin price to head towards US $ 1 per DOGE in the near future. "I think Dogecoin can touch US $ 1 this year," said Youtuber and Dogecoin investor Ben Philips, as quoted by Forbes.
"I'm not making jokes. I see this coin is making a stupid move," continued Philips. He claimed to have bought quite a large amount of Dogecoin and learned more about cryptocurrency this year.
Philips says Dogecoin is different because the days are soaring and attracting quite a bit of interest. Even the increase is unprecedented in any other crypto market.
This week, on the Reddit forum WallStreetBets which raised GameStop prices briefly said it was lifting its ban on discussing three cryptocurrencies (bitcoin, ethereum and dogecoin).
"I see no point in prohibiting discussion because the increase in crypto prices is inevitable," said Philips, as quoted by Forbes.
But the ban was reinstated less than 24 hours after it was lifted. The price of Dogecoin has gained 10,000% in the last six months. As of 9:04 p.m. WIB, Dogecoin's market capitalization reached US $ 46.67 billion. A market cap of US $ 46 billion puts Dogecoin in the top six positions.
Dogecoin's rise in price is not compatible with Bitcoin and Ethereum, which are down 3% after climbing to an all-time high on Thursday. But keep in mind that the increase in bitcoin prices is balanced with requests from institutions. Thus, Bitcoin's market capitalization has reached US $ 1 trillion.
"Keep in mind that large institutions or financiers prefer major cryptocurrencies, and the optimism may not extend to all other coins, but it is largely attracting retail demand," said Alex Kuptsikevich, senior financial analyst at FxPro, said in emailed comments. He added Dogecoin had risen due to retail demand.
Interest in memecoin (Dogecoin), according to Kuptsikevich, should serve as a reminder that there is also potential for a quick correction. "Altcoins are going to face a selloff that will be much fiercer than the major coins," he said.
Meanwhile, there are social media groups pumping cryptocurrency and organized through apps like Telegram and Discord that are trying to push the crypto price higher.
"Doge is shocking. But now it really is a beast," wrote one user in a group called SatoshiStreetBets, named after the mysterious and anonymous creator of bitcoin.
"I'm not sure this price increase will be a turning point for a real project," wrote another. "Seeing Doge go 100x made me think crypto was still in its infancy."