Gamestop Frenzy Inspires Similar Event In Dogecoin By The Tune Of 800%

Elon Musk Backs Dogecoin DOGE In New Tweet
Elon Musk Backs Dogecoin DOGE In New Tweet

Dogecoin stands as a cryptocurrency founded more on a joke than anything else. However, the asset has seen massive surges as of late, going up by a tone of more than 800% in its most recent pump.

This comes after a Reddit board by the name of r/SatoshiStreetBets decided to replicate the success of r/WallStreetBets in their spectacular bite at hedge funds.

DOGE Finding Success Alongside GME

The Dogecoin managed to reach a new high of $0.072330, before seeing a massive crash and subsequent correction. As it stands now, the asset is trading at $0.043047.

Dogecoin was created back in the year of 2013, when the “doge” meme was at its height. It was meant to be more like a joke than anything else, modeled after the Shiba Inu dog of the meme’s namesake. While it was a joke, its nature seemed to attract a large number of people, forming a community around it.

A Stable, Dedicated Community

Obviously, Doge coins aren’t close to big players like Ether or Bitcoin, but it has seen some amusing resurgences. Last year, a massive rally was inspired thanks to the TikTok app influencers convincing their followers to pump the asset.

US Federal Banks Can Now Hold Stablecoin Reserves

Now, however, its most recent rally has been inspired by the chaos caused by r/WallStreetBets, who had pulled Gamestop from bankruptcy and simultaneously cost hedge funds billions. It’s a plucky little tale, and r/SatoshiStreetBets wants to replicate it through mutual crypto pumping.

As it stands now, the Dogecoin boasts a market capitalization of $4.93 billion and dropping. This recent rally saw that market cap surge to up to $8.2 billion, however, allowing it a bold moment where it stood as the 9th largest cryptocurrency in the world.

As one would imagine, it wasn’t long before everyone called it the Gamestop (GME) of the crypto space.

The Internet Smacking Wall Street With Billions In Losses

This massive rally is seemingly losing steam, however, but it’s clear that people want this train to keep on rolling. Indeed, one post has suggested taking Doge as far as $1 a coin, which it’s never managed to pull off, and Redditors across the board are urging users not to sell, but to keep on pushing.

The great Gamestop fiasco is a wonderful one indeed. r/WallStreetBets, a community on Reddit, has started pushing a hard narrative to buy up shares in GameStop, all in a bid to bite the rich hedge funds betting against or shorting the stock. As the GME shares are bought up, a short squeeze occurs, which causes hedge funds to try and cover their losses. This, in turn, sees the stock price go higher.

Remember, all trading carries risk. Past performance is no guarantee of future results.

A journalist, with experience in web journalism and marketing. Ali holds a master's degree in finance and enjoys writing about cryptocurrencies and fintech. Ali’s work has been published on a number of cryptocurrency publications.