Dogecoin, the meme cryptocurrency, reached an all-time price high of 4 cents on Thursday evening. That represents an incredible fivefold increase from the previous 24 hours, having traded for less than a penny on Wednesday.
The price move helped DOGE briefly enter the top 10 ranking by market capitalization for the first time since 2015. The rally appears to be connected to the WallStreetBets phenomenon. Which has helped shorted stocks such as $GME and $AMC achieve unprecedented gains in recent days.
A Twitter account called WSB Chairman (which isn’t officially associated with the WallStreetBets subreddit) tweeted: “has Doge ever been to a dollar”? The answer to that question is “no,” but some members of the WSB community have tried to change that.
The 68% retracement that followed the peak at $0.087 resembled Bitcoin’s sharp drop after the December 2017 crash. Except rather than 50 days, it only took 24 hours.
Dogecoin Produces Another Price Pump
Then after spending most of Jan. 30 and Jan. 31 hovering around $0.03, DOGE managed to produce another 80% pump in less than three hours.
These types of events are almost impossible to predict. There are several social networks, including private Telegram groups and trading signal apps, leading the push.
Reddit’s r/SatoshiStreetBets currently has 213,000 active users and following DOGE’s breakout a meme-post by user Woke_AF_Populist quickly climbed to its most upvoted list.
Tesla and SpaceX CEO Elon Musk has also tweeted about Dogecoin in the past, indicating it was his favorite cryptocurrency as recently as 2019.
Launched in 2013, Dogecoin has gained prominence largely because the concept is so ridiculous and fun to write about. As more people write about it, the more attention it gains.
Prior to its most recent rally, Dogecoin last peaked in 2018 after reaching a high of almost 2 cents before crashing along with the rest of the cryptocurrency market.
By early 2019, Dogecoin had lost almost 90 percent of its value and was trading for a fraction of a penny. It has languished in obscurity the last two years, but can still take off at any time from a social media push, as shown over the past week.