The cryptocurrency that started as a joke based mostly off of the “doge” meme has now rallied 1,905% this 12 months, with assist from high-profile backers like Elon Musk and Snoop Dogg.
Dogecoin wasn’t the one coin to achieve new heights Tuesday. Bitcoin soared to an all-time high above $63,000, whereas Ether hit a new record above $2,200. In the meantime Ripple’s XRP token surged 28% to its highest level in over three years.
The present stage of the bull market cycle and Coinbase’s direct listing later this week are doubtless pushing dogecoin and different cryptocurrencies larger, mentioned Adam Levine, managing director of podcasts and audio at Coindesk, who added that there sometimes is not only one issue that drives up the worth of the meme token.
“One of many issues that is attention-grabbing about doge is that at any time when there’s sort of pleasure round cryptocurrency, individuals who do not actually know so much about cryptocurrencies get pulled into the doge ecosystem,” Levine advised Insider. “And that is partly as a result of it is cute, and it is not intimidating. It is partly as a result of the tokens are very low cost.”
Momentum is also pushing up dogecoin’s worth proper now, he mentioned. Loads of early backers of dogecoin thought of it “lifeless” coming into this 12 months, and the coin’s wild rally was largely surprising. Now that the worth has stayed elevated, it seems to be ticking larger when the broader crypto market beneficial properties.