Dogecoin (DOGE) was able to reach the 7th position in the market as it skyrocketed by over 400% in the last 24 hours. The virtual currency surpassed $0.062 and it hit a market cap of almost $10 billion. In this way, DOGE became larger than Litecoin (LTC), Bitcoin Cash (BCH), Binance Coin (BNB), Stellar Lumens (XLM) or USD Coin (USDC).
DOGE Surges by Over 500%
In recent hours, DOGE surprised the crypto market by experiencing a price increase of over 500%. The virtual currency suddenly became one of the largest digital assets in the world and it was close to surpassing Cardano (ADA) and XRP.
The reason behind this price increase is related to the expansion of the WallStreetBets Reddit movement. This is a Reddit group that started massively buying stocks that were shorted by large hedge funds. Due to this reason, the price of these stocks (for example GameStop or AMC) exploded to prices not seen in years.
Trading platforms such as Robinhood have suspended trading for some assets, including GameStop and AMC due to “market volatility.” This has been an issue that affected millions of users in the platform and that pushed the price of these assets down. Users were only to sell the stock but not purchase more.
During the U.S. night and European early morning, the Dogecoin cryptocurrency was pushed to new highs. Indeed, the entire WallStreetBets community asked for this virtual currency to be pumped. This is what the market did. Robinhood has also reported issues with crypto trading.
Sorry I missed your call, I was busy exposing Wall Street and watching Dogecoin moon.
— WSB Chairman (@WSBChairman) January 29, 2021
The interesting thing is that Mia Khalifa, one of the most recognized porn models, has been tweeting about stocks. Indeed, she has also commented about DOGE. She wrote on Twitter that she bought “the dog stocks.”
However, once she tweeted this, the price of DOGE dropped by almos 50%. As we can see, cryptocurrencies are certainly volatile. However, the impact that this Reddit trading group had on the market has been massive.
In the coming weeks, it might be possible to see similar price movements to the once we have seen in recent days. Although it is not clear which stock or digital asset will be pumped, regulators are closely having a look at what’s happening in the market.
Furthermore, Robinhood and other platforms halted trading for small retail users. It is just a matter of time before we see the consequences of this turbulent week.