+ 3.55
+ 1.07%
+ 1.85
+ 0.54%
+ 3.10
+ 0.74%

What Does Dogecoin Rally Mean For The Overall Cryptocurrency Market?

April 16, 2021 2:14 am
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More
What Does Dogecoin Rally Mean For The Overall Cryptocurrency Market?

Dogecoin (DOGE) has rallied 353.77% over a seven-day trailing period, touching an all-time high of $0.29 on Thursday night, and the spike could bode well for the overall cryptocurrency market.

Is Doge A Bad Boi? Some on social media have long expressed concerns about DOGE’s upward movement, citing the harm a joke asset garnering mainstream attention could cause to the cryptocurrency community at large.

Citing Doge's inflationary supply compared to Bitcoin's (BTC) limited supply, a  post on r/Cryptocurrency claimed "Dogecoin is NOT a smart longterm investment."

“Think about that. Each minute, 10,000 DOGE have to be bought just to keep it at the same price,” u/EthereumDream said.

Another poster noted that just a single address owns 28% of all Dogecoins in existence and “that alone should worry anybody.”

DOGE traded 80.03% higher over 24 hours at $0.23 at press time. BTC traded 1.86% lower at $62,027.70.

In the past Reddit users have expressed worry about Musk’s frequent tweets on DOGE and expressed the fear that this may lead to serious damage.

Doge Good For Altcoins: According to some, the money that is flowing into Dogecoin can prove a boon for the entire cryptocurrency market.

Popular trader and strategist Kaleo thinks the current DOGE pump could lead to an eventual flow into other so-called altcoins.  

In the past, Kaleo has noted Doge’s movement independent of a boost from Tesla Inc (NASDAQ:TSLA) CEO Elon Musk.

The Alt-Season Is Here: Even as BTC hit all-time highs this week, it has slipped in terms of market dominance. At press time BTC market dominance stood at 52.3%. 

The runners up in terms of market dominance was Ethereum (ETH) at 12.77%. DOGE has a market dominance of 1.35%. ETH traded 0.83% lower at $2,449.50.

An analyst pointed out that the loss of BTC dominance is an indicator that the “altcoin season” is here. Michaël van de Poppe predicts a “very bullish” summer for altcoins.

Read Next: Why Is Maker Cryptocurrency Skyrocketing?


Cryptocurrency Markets

Related Articles

As Dogecoin Rally Mutes, 'Cheaper' Ethereum, Bitcoin Look-Alikes Strike Massive Gains

Dogecoin (DOGE) traded nearly 17% lower on Thursday night at press time as the cryptocurrency took a breather from its recent upwards march, but Ethereum Classic (ETC) and Bitcoin Diamond (BCD) charted a different course. read more

Amid Dogecoin Hype, Elon Musk Warns On Investing With 'Caution' In Cryptocurrencies

Tesla Inc (NASDAQ: TSLA) CEO Elon Musk urged investors to exercise caution when it comes to investing in cryptocurrencies in a late-night social media post on Friday. read more

Will Elon Musk's SNL Appearance Just Be A 90-Minute 'Infomercial' For Dogecoin?

Will Tesla Inc (NASDAQ: TSLA) CEO Elon Musk's “Saturday Night Live” episode turn out to be a 90-minute infomercial for Dogecoin (DOGE)? So wonders actor and comedian David Spade. read more

Robinhood The Biggest Dogecoin Whale? Here's What CEO Tenev Has To Say

Robinhood Markets CEO Vlad Tenev has dismissed speculation that his brokerage platform may be the so-called “dogecoin whale,” the owner of a huge stockpile of the meme cryptocurrency Dogecoin (DOGE). read more