On the 16th (local time), a bubble warning about Dogecoin, which is soaring to the sky, is continuing, reported by CNBC, an economic media outlet in the United States.
Dogecoin is a cryptocurrency created “for fun” by software developers in 2013, and is a Japanese Shiba Inu mascot. Dogecoin was used on social media such as Reddit and Twitter as a tip payment to acknowledge the creator’s contribution.
◇ Musk’s fire : Dogecoin became famous when Elon Musk, Tesla CEO, mentioned Dogecoin as her favorite cryptocurrency.
He refers to Dogecoin as “the cryptocurrency of all of us” and has been cheering enthusiastically through social media.
◇ 6th largest cryptocurrency in the market cap : Such Dogecoin has risen 485% only during the last 7 trading days, and has jumped more than 4600% this year.
Accordingly, Dogecoin became the 6th largest cryptocurrency in the market cap. As of the 17th, the market cap of Dogecoin is 46 billion dollars (51 trillion won).
◇ Particularly in the deep-sea bubble in Korea, it is more than the KOSPI transaction amount : In particular, the demand for altcoins (cryptocurrencies other than Bitcoin) is rapidly increasing in Korea and a frenzy is blowing. The transaction amount of Dogecoin exceeds that of KOSPI.
According to the cryptocurrency exchange, Dogecoin’s trading value for the last 24 hours in the upbit won market as of 8:51 am on the 17th was about 171.8 trillion won.
This is more than the previous day’s KOSPI trading value (15,5421 billion won) and April’s average daily trading value (14,9372 trillion won). It is difficult to find a precedent that altcoins’ daily transaction amount exceeded the KOSPI market. It is a typical bubble and’abnormal overheating’.
Accordingly, there are warnings that the Dogecoin bubble will soon extinguish.
◇ “Typical speculation, if you don’t get out quickly, you’ll be frustrated” : Nick Carter, founder of Castle Venture, a cryptocurrency company, told CNBC that “Dojicoin is a typical speculation,” saying, “I warned.
David Kimberly, analyst at the UK investment site FreeTrade, said, “Investors are well aware that Dogecoin has no intrinsic value, but they are keen to invest with the idea that they can get money by selling after raising the price. This is a typical speculation. ”He pointed out.
He warned, “If you sell it quickly, you’ll get some profits, but if you’re late, you’ll suffer huge losses.”
