Dogecoin, a minor cryptocurrency until dogecoin-mania swept the crypto world this year, has been propelled into the cryptocurrency top ten and a mind-boggling $50 billion market capitalization—helped by Tesla billionaire Elon Musk. For comparison, bitcoin currently boasts a total value of just over $1 trillion, while other top five digital tokens ethereum and Ripple’s XRP are worth $240 billion and $55 billion respectively.
The dogecoin price has already surged a staggering 15,000% to 40 cents since the broad bitcoin and crypto bull run began in October last year—and dogecoin’s meme-led community is hoping this year’s 4/20 could see it reach the lofty highs of $1.
“$1 is definitely possible,” says Alex Krüger, a cryptocurrency trader and economist speaking via Telegram and adding such a increase “is not that much more for something that volatile.”
“It’s quite a remarkable dynamic at play where a market always hungry for a strong narrative to dominate price movements has settled on the meme economy for outperformance,” Mati Greenspan, a cryptocurrency trader and founder of market analysis group Quantum Economics, says via Telegram.
The dogecoin price has climbed this week as excitement builds ahead of April 4, adding 20% over the last 24 hours and hovering around its all-time highs.
“Doge is going parabolic tomorrow,” wrote one user of a 45,000-strong cryptocurrency pump-and-dump Telegram group called SatoshiStreetBets, named after the Reddit community WallStreetBets that sent GameStop
Elsewhere, the wider bitcoin and cryptocurrency market has struggled since a shock $300 billion sell-off over the weekend. The bitcoin price is down around 5% over the last 24 hours while other top five cryptocurrencies ethereum and Ripple’s XRP are also down from their recent highs.
Meanwhile, bitcoin and cryptocurrency-friendly brands are jumping on “dogeday” as an opportunity to connect with customers. Newegg, a technology-focused online retailer has today begun accepting dogecoin as payment—seven years after it began accepting bitcoin.
“The excitement and momentum around cryptocurrency are undeniable, and the recent surge in dogecoin value underscores the need to make it easier for customers to make purchases with this popular cryptocurrency,” said Andrew Choi, senior brand manager at Newegg, in a statement alongside the announcement.
However, while bitcoin and cryptocurrency analysts do see the dogecoin price climbing in the short-term, they are also warning against people getting carried away.
“Most people will lose money, as always,” says Krüger. “That’s how trading manias work. The majority usually comes in at the top.”