According to CoinMarketCap, it is the biggest meme coin Dogecoin (DOGE) Its price has lost more than 12% in the last 24 hours. DOGE is very close to leaving the list of top ten cryptocurrencies in terms of total value. Dogecoin is currently valued at $18.7 billion, just ahead of Avalanche’s (AVAX) value of $18.5 billion.
Dogecoin experienced a spike in price after Elon Musk’s Twitter deal. It was seen in the news that DOGE prices increased by up to 20% and its market value reached up to 20.40 billion dollars. However, now we can see that once the profits are made, the investors immediately abandon ship with their profits.
The Dogecoin and Twitter relationship actually made more sense after Elon Musk bought the entire Twitter. Elon Musk’s meme coinHe is known to be a devoted fan of. According to the allegations in the press, Musk will make it possible for Twitter Blue memberships to be paid with DOGE. In addition to this claim, it is said that it will be possible to donate using DOGE on Twitter.
Twitter news, on the other hand, showed more of a “buy the rumor, sell the news” scenario for Dogecoin. Musk has yet to take full control of Twitter. The deal is likely to be completed later this year.
Why Dogecoin Price Drop Isn’t Surprising
Dogecoin priceIt is a well-known fact that Turkey hasn’t been hosting major developments lately, and that’s why there have been minor movements in all kinds of rumors. After the rumors that Musk would buy Twitter, the acquisition increased this activity a little more. Since the beginning of 2022, DOGE has also been very low in on-chain activity, far from desired in terms of active addresses. If the reason for the price increase is predictable, it can be seen that it is purely emotional.
While the news was being prepared, the correction in the markets was continuing to correct in general, and Dogecoin also joined this correction caravan.
After the recent sales, the overall cryptocurrency market cap has dropped to $1.77 trillion. At press time, DOGE was trading at $0.1412, down 1% on the 7-day chart and up 2% on the 14-day chart.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.