During the last days the eyes of the whole world have settled, once again, on the crypto market. However, this time the focus of attention has not been Bitcoin, Ethereum or even Binance Coin. On the contrary, all the media and investors are following the development of Dogecoin. The joke cryptocurrency that has surprised the world by multiplying its price several times. Despite which, the price of Dogecoin falls during Doge Day, despite the high expectations raised.
The Dogecoin surprise
Since the beginning of the year, Dogecoin has consistently made headlines due to its performance in the market. And it is that, in a matter of months, the cryptocurrency inspired by the Japanese dog Shiba Inu has gone from being a more or less unknown curiosity of the crypto market, to become one of the best performing virtual currencies in the world. Gathering around it a huge community of crypto users who bet on the cryptoactive.
Much of the responsibility for this rests with Elon Musk. And, the CEO of Tesla and SpaceX has used his Twitter account to constantly speak in favor of cryptocurrency. Boosting the confidence of small investors gathered on social networks such as Reddit, who have invested hundreds of millions of dollars in Dogecoin, increasing its price.
And now, when the Dogecoin fever seemed to be subsiding, Coinbase’s IPO, along with a tweet from Elon Musk, was enough to spark a new speculative frenzy for DOGE. Taking its price from $ 0.06 to a peak of $ 0.41. Which, however, has not been enough to resist the fall in its price during Doge Day.
Collapse during Doge Day
Thus, in general, the Dogecoin community was preparing this April 20 for a new increase in the price of the cryptocurrency. In what has been declared by the followers of the cryptoactive as Doge Day . And initially it seemed they were right, as during the last hours of April 19 Doge reached $ 0.42, staying around $ 0.40 during the end of April 19 and the beginning of Doge Day.
Earnings that would soon prove illusory, since by the early morning of April 20 the price of Dogecoin began to fall. Losing in a matter of hours all the advance made in its price the previous day. Dropping to $ 0.29, staying around $ 0.30 since, falling a quarter of its value on Doge Day.
In this way, the importance of the speculative factor in the price of Dogecoin is clear. Well, unlike other cryptocurrencies such as Bitcoin or Ethereum that respond to clearer stimuli from the market. Doge responds and will continue to respond to the speculative appetite of trader participants.