The world’s most famous meme coin, dogecoin (DOGE), moved pass the biggest coins in the world on Google Trends, and flipped five major altcoins to move deeper into the top 10 list. (Updated at 13:50 UTC: updates throughout the entire text. Updated at 14:32 UTC with a comment from Mati Greenspan. Updated at 14:47 UTC with liquidation data and a new reaction. Updated at 15:01 UTC with comments from Michael Kamerman and David Kimberley.)
The search interest in doge has flipped that of four biggest coins in the world by market capitalization: bitcoin (BTC), ethereum (ETH), binance coin (BNB), and XRP.
But another flippening happened as well – or rather, a series of flippenings. One by one, DOGE’s market capitalization surpassed litecoin (LTC)’s, uniswap (UNI)’s, polkadot (DOT)’s, cardano (ADA)’s, and tether (USDT)’s.
it has pushed the five coins into the 6th to the 10th spot, respectively – and taking the 5th for itself. Its market capitalization is now USD 49.6bn (13:43 UTC), compared with USDT’s USD 47.2bn, ADA’s 44.4bn, DOT’s USD 40.5bn, as well as UNI’s and LTC’s USD 18.6bn. XRP is in the 4th place with USD 71.5bn.
DOGE’s price rallied recently, going up a whopping 197% in a day and 544% in a single week, hitting its all-time high just minutes ago. Overall, it’s up 20,305% in a year, now trading at nearly USD 0.397 – and still rising at the moment.
The coin’s trading volume has seen a massive jump as well in the past week, particularly the last two days. Starting with some USD 1.26bn on April 9, that number was up to USD 7.37bn on April 14 – then up to USD 19.6bn the very next day, which is a 165.8% rise in a day.
Its 24h volume, per CoinGecko is now USD 48bn – more than even ethereum’s nearly USD 43bn.
DOGE price chart:
“Considering that the Dow Jones Industrial Average has risen less than 20% within this time, it is safe to say that the teens on TikTok are literally crushing it in comparison. Even those asset managers who are forward-thinking enough to add a reasonable allocation to bitcoin in time to catch this bull by the horns could only dream of such returns. In a very real way, they are the butt of this joke,” Mati Greenspan, Founder of Quantum Economics, wrote in his newsletter today.
He pointed at the Ironic Process Theory that might help understand this massive DOGE rally. The theory refers to the psychological process whereby deliberate attempts to suppress certain thoughts make them more likely to surface.
Per Greenspan, it helps us understand how dogecoin has become top of mind, “or in the case of the investment world, the top dog.”
“And the more economists try to laugh it off or suppress it, the more it will come back to the fore with a vengeance. The popular joke target for dogecoin that keeps coming up is a whopping USD 1. We’re precisely one-third the way there now,” he concluded.
Also, Michael Kamerman, CEO of fintech firm Skilling, told The Independent, that DOGE is moved by headlines, tweets, celebrity or corporate endorsements, “and while that’s likely belittled by ‘traditional’ investors, it’s what brings the masses to cryptocurrencies.”
However, David Kimberley, an analyst at UK investing app Freetrade, warned that dogecoin’s rise is a classic example of greater fool theory at play.
“People are buying the cryptocurrency, not because they think it has any meaningful value, but because they hope others will pile in, push the price up and then they can sell off and make a quick buck,” he told CNBC, adding that the bubble eventually has to burst “and you’re going to be left short-changed if you don’t get out in time.”
Meanwhile, over USD 700m in DOGE futures trading positions were liquidated in the past 24 hours, per bybt.com data.
Déjà vu
In either case, it’s not really clear what has suddenly pushed the coin up. As for the recent news surrounding it, American brand of snack Slim Jim announced Doge Week, posting numerous DOGE-related tweets in the past days, boosting their engagement.
Furthermore, luxury nightclub E11even Miami announced that it would start accepting DOGE, and Dallas Mavericks owner Mark Cuban tweeted that their store sold more than DOGE 122,000 (currently USD 46,447) worth of merchandise.
Meanwhile, Robinhood users seemed to have had déjà vu as the platform had announced “issues with crypto trading” due to “unprecedented demand” in the middle of DOGE rally again.
Some commenters, however, are arguing that DOGE is not a good investment, with others claiming it has value.
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Other reactions:
Crypto and Bitcoin OGs making fun of normies for buying DOGE all the way from $0.01 to 0.40 you love to see it
expected another doge pump but not this early and not this fast, our money really is worthless lol
Live view of $DOGE single-handedly saving all my other bags today: https://t.co/bYL4PPZ7WU
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Stopped by /r/dogecoin for the first time in 6 years to see that it has become /r/wallstreetbets but with doges. This is gonna end well…
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Learn more:
– Dogecoin At The Top 10 Gate as Cuban, Musk Stoke Social Media Flames
– DOGE’s Rally Has Revived Dogecoin Development, But For How Long?
– Novogratz Brands Dogecoin a ‘Joke,’ Tells Mark Cuban to Steer Clear
– Crypto ATM Provider CoinFlip Adds Dogecoin, ‘Validating Its Legitimacy’
– Are GameStop-Style Surges In Crypto Any Different From Old Pumps & Dumps?
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