Dogecoin Recovers From Post-4/20 Downturn – What’s Next for DOGE?
Dogecoin paused for a breather in the just concluded week following a stellar rally, but has picked up some of the lost momentum over the weekend.
Doge rose from obscurity to the spotlight this year, thanks to the backing of heavy weights, including Tesla, Inc.’s Elon Musk, and the push given by the Doge community.
From 0.47 cents at the end of 2020, Doge rose to 43.12 cents on April 19. In the process, the crypto achieved another feat of climbing past the $50 billion market capitalization mark.
Retail investors were hoping to push the currency past $1 on April 20, or 4/20, observed as Doge Day. Incidentally, 4/20 has been celebrated as a day to promote marijuana consumption. The goal proved ambitious. The meme currency hit an intraday high of 42.23 cents on 4/20 but came back down sharply to close at 31.95.
After Doge Day, the crypto retreated sharply, hitting a low of 16.37 cents Friday, a peak-trough decline of about 62% over four sessions. In traditional financial markets, a pullback of over 20% from a recent peak represents a step into bear market territory.
The weekend, however, proved salubrious for the meme currency, as it climbed to a high of 28.94 cents on Saturday before settling at 27.02. It is seeing further momentum on Sunday.
At press time, the crypto was down 2.6% to 26.5 cents over the last 24 hours.
Dogecoin, created as a joke currency in 2013 using the theme of a Shiba Inu dog, has come a long way from its humble beginning. It has grown to the stature of being accepted as a payment option in some instances and has found the support of some widely followed fund managers and corporate executives. Additionally, it has the privilege of having the unstinted support of a frenzied retail following.
However, skeptics caution that investors should put in only as much money as they can afford to lose in the meme coin. That said, there is no harm in making merry as long as the Doge party lasts.
