With the crypto market on a bearish trend, Dogecoin lost its spot as one of the top coins slipping to 14th rank on CoinMarketCap. However, it quickly rose back into 10th place after the news break today that Elon Musk is buying Twitter. DOGE was out of the top 10 cryptos for a long but today’s rise has put the coin back into the top 10 cryptos by market cap.
DODE pumped on the news that Elon Musk was taking Twitter private. There has been a 20% increase in the price of DOGE today after the news. Twitter is set to accept Musk’s $43 billion offer.
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Elon Musk Behind The Rise In Dogecoin Price
DOGE has been steadily rising since it hit a low at $0.1239 this Monday, climbing up to around 20% higher. At the time of writing, the price per coin is $0.158. The DOGE market cap has also seen an impressive rise to $20.96 billion, putting the crypto in the top 10.
As of right now, Dogecoin is worth only half of what it was worth one year ago.
The overall crypto market cap has also seen a fall of 2.79% early today, reaching $1.79 trillion. But as the DOGE started rising, other coins like Bitcoin and Ethereum also saw a significant increase. So now, the total crypto market cap stands at $1.82 trillion with a 1.78% rise.
Crypto Market Cap is 1.78% high after the Musk news | Source: Market Cap Chart from Tradingview.com
What’s going on? DOGE’s price has been trending steadily down for the last three months. The coin was relatively stable during that time. However, it experienced some volatility and a jump in trade volume from Elon Musk making his intentions public on Twitter—which may have something to do with why investors are sellers at present rather than buyers.
The price and trading volume of the popular memecoin coin Dogecoin has increased since 14th April, following reports that Tesla boss Elon Musk is interested in buying Twitter. On Friday, 15th April, the trading volume of DOGE was up 145% in the last 24 hours, and the market cap was 5% higher than it was on the previous day.
One of the most influential and open backers of Dogecoin on social media is Elon Musk. His statements have often led to jumps in the price for this popular crypto token, which he also uses personally.
Experts Predict DOGE May Fall Amid Hawkish Stance By The US Fed
However, some people think that the price of DOGE will go down because the US Fed is taking a tough stance on inflation. According to experts, the DOGE price may fall to a new low as there has been much selling pressure on crypto assets.
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Shivam Thakral, CEO of BuyUcoin, said:
As the global financial markets face heat from the hawkish stance taken by Fed to tackle high inflation, there has been tremendous selling pressure in crypto assets. If this trend continues, Doge prices may fall further to find a new lower support level.
Featured image from pixabay, chart from Tradingview.com