After dogecoin, shib coin, turtle coin, and other animal coins dominate the major media headlines and hot search lists daily, made a huge profit by taking funds from major investors. On May 19, bitcoin fell below $40,000.
In the recent short period in the several rounds of the battle between digital currencies as to who will step on who? So far this year, the price of dogecoin has soared by a staggering 12,000%.
It has reached 20,000%, far exceeding the increase of the first cryptocurrency bitcoin. According to bitcode-prime, more and more businesses are now accepting Bitcoin as a verified payment option and it is widely accepted as a very normal thing.
What is bitcoin?
Bitcoin has been in operation since 2009 and has started the history of cryptocurrencies. In other words, bitcoin can be said to be the “oldest cryptocurrency”. Bitcoin was created based on a paper written by a pseudonymous person named satoshi (whose identity is still unknown, whether it is an organization or an individual).
Bitcoin is money that can be exchanged on smartphones and computers, and you can keep your coins in a digital wallet to make such payments. You can use bitcoin as money if the person or shop you pay with is ok to pay with bitcoin, as many retailers are now accepting bitcoin as a valid payment mode.
The birth of Dogecoin
Dogecoin, which was born because of a joke, has become the most popular cryptocurrency in the world. Under the effect of the dogecoin, Elon musk has posted on Twitter several times in a row that dogecoin is his favorite and the chain of platforms with goods effect.
The stock price soared more than 28,000% in just half a year, reaching a peak of $0.7.Later, Elon musk joked that “dogecoin is a scam”, and dogecoin plummeted 35% in 24 hours to $0.45. Suppressed by the Chinese side, the price of dogecoin is now around $0.23.
Dogecoin is mainly used to tip creative and high-quality content on Reddit forums and Twitter.
BTC Vs DogeCoin: Musk Impact
The news that musk hinted the day before tesla to liquidate bitcoin (BTC) put pressure on the entire cryptocurrency market, but then he denied this speculation, which to some extent prevented cryptocurrencies such as bitcoin (BTC) from expanding their declines.
At present, musk’s impact on the cryptocurrency market may have come to an end but the lack of news drive has also made bitcoin (BTC) a volatile asset.
During the recent ups and downs, Elon Musk seems to have decided the rise and fall of bitcoin and dogecoin, and the reasons behind it are worth every investor’s attention. It can be seen that dogecoin is a relatively cheap and extremely hot crypto asset per unit. But at the same time, the market should also note that compared with the traditional financial market.
What is the difference with bitcoin?
Virtual currency is now one of the most popular investment commodities, the most widely known of which is bitcoin. In addition to it, there are many virtual currencies such as ether, Binance coin, etc.
The birth of dogecoin is quite legendary, 2013 coincided with the rise of bitcoin, when the price of the coin soared from $150 to $1,500, which also led to the development of virtual currency, and an adobe employee Jackson Palmer, wanted to satirize the proliferation of virtual currency, so combined with the memes of the doge meme and virtual currency combined to produce a virtual currency chart with a doge avatar.
Jackson palmer then tweeted the image, saying, “invest in dogecoin!” Let the value of dogecoin soar again. So far, 1 dogecoin is equivalent to $0.2, with a total market value of $26.4 billion.
Conclusion
Before making any investment decision, investors should first have a comprehensive understanding of the relevant assets and invest cautiously based on their own judgment, rather than being blinded by market sentiment and causing unnecessary losses.
Still, while the bitcoin price has been falling, reaching lows below $40,000, some analysts have found reasons to be bullish. Others see this as a catalyst for a bullish recovery, predicting a quick return to upward momentum once selling runs out.
Although the popularity of dogecoin has increased significantly compared with before 2021, investors should have a full understanding of the investment risks of dogecoin when operating.
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