Why Is Dogecoin Crashing Today?

Dogecoin DOGE/USD traded nearly 11% lower at $0.145 over 24 hours leading up to early Thursday morning.

Dogecoin, which had been rallying on Tuesday, thanks to Tesla Inc TSLA CEO Elon Musk’s assuming a seat on Twitter Inc’s TWTR board plunged along with its larger peers. The global cryptocurrency market cap declined 4.65% to $2 trillion.

See Also: How To Buy Dogecoin (DOGE)

The Doge Factors

• DOGE was among the most mentioned coins on Twitter. At press time it attracted 451 tweets, according to Cointrendz data. The three most mentioned coins were XRP, Bitcoin, and Ethereum.
• Coinglass data showed that $12.08 million worth of DOGE futures were liquidated in the past 24 hours as the meme cryptocurrency saw a steep correction.
• DOGE 24-hour trading volumes declined 53.6% to $2.83 billion, according to data from CoinMarketCap. 

Fed’s Moves Cause Jitters

Major cryptocurrencies declined Wednesday after minutes from the March policy meeting of the U.S. Federal Reserve were disclosed. There are signs that policymakers are increasingly hawkish and the central bank could commence a balance sheet runoff. This unnerved traders of risk assets including cryptocurrencies. 

DOGE Around The Web

Dogecoin co-creator Billy Markus compared various cryptocurrencies, including DOGE, with various drugs and substances in a recent tweet. 

If cryptocurrencies were drugs: #bitcoin: cocaine #ethereum: adderall#dogecoin: weed

shit tokens: a bag of baking soda labeled “meth”

— Shibetoshi Nakamoto (@BillyM2k) April 7, 2022

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