Dogecoin (DOGE) loses bite, weakens by 21% on ‘Dogeday’

Fanatics of the digital currency Dogecoin got a different kind of surprise on April 20, dubbed by social media as “Dogeday.”

Loyal supporters have positioned the cryptocurrency to skyrocket at a price of $1 or would at least reach 69 cents. With the meme altcoin seeing more than a 60-fold surge in its price this year and reaching a market value of more than $40 billion, the positioning seemed logical and attainable.

But come Dogeday, the “joke” fell into the DOGE holders, as it dropped 21% and plummeted to as low as $0.29 before settling to $0.34 — a far cry from what was expected for the cryptocurrency on the much-anticipated day.

Dashed hopes

At the very least, it is safe to say that the hopes of some holders of the meme currency were dashed even on a day that should have favored them.

According to Coindesk.com, Edward Moya, senior market analyst for the brokerage Oanda, said that “many retail crypto traders were hoping for today to be a successful ‘Dogeday’ by sending Dogecoin to the moon.”

He added that “some were eyeing the $0.50 level as an area to take some profit, with others having outlandish hopes of a skyrocketing move to the $1 mark. The current retail fervor probably won’t completely give up on Dogecoin, but a sell-the-event reaction could be in the cards.”

A shot of water in the face

The 21% drop of Dogecoin on Dogeday was like a shot of water in the face of fans that were looking to gain profits — if not become instant millionaires.

The slump came at a time even when one Bloomberg analyst said that the cryptocurrency is set for further gains.

In an article published at Coindesk.com, Mike Mcglone of Bloomberg Intelligence recently said that after “gaining somewhat of a global cult following, we see little to stop DOGE from continuing to appreciate, at least in the near term.”

Despite that, the altcoin still failed to live up to the hype of Dogeday.

 

Image courtesy of Thinksmart Brother/YouTube

Micky is a news site and does not provide trading, investing, or other financial advice. By using this website, you affirm that you have read and agree to abide by our Terms and Conditions.
Micky readers - you can get a 10% discount on trading fees on FTX and Binance when you sign up using the links above.