Galaxy CEO warns about risky nature of the DOGE altcoin

Share

For the past months, the meme cryptocurrency Dogecoin (DOGE) has been put into the spotlight as many people, including the likes of billionaires Elon Musk and Dallas Mavericks’ Mark Cuban, created a mega hype for the joke digital currency.

But despite this, an expert investor has warned people to think carefully first before investing in DOGE.

While investment firm Galaxy’s Chief Executive Officer (CEO) Michael Novogratz recognized the efforts of the community behind Dogecoin for the significant increase of its popularity, he pointed out that there are risks in investing because of the cryptocurrency’s volatility nature.

Still an immature asset?

During a Bloomberg interview, Novagratz insisted that Dogecoin (DOGE) is still “immature” compared to the pack leaders Bitcoin (BTC) and Ethereum (ETH).

“The network’s immaturity is revealed in qualitative factors like a lack of infrastructure and development,” he said.

The CEO said it is the main reason why Dogecoin still remains joke crypto. Further elaborating on the digital currency being an unsafe investment, Novagratz said its price value could go down as fast as it goes up and fluctuates easily until it slows down as more people buy it.

Price prediction for the meme crypto

On Wednesday, Dogecoin (DOGE) touched the $0.50 mark, even hovering at 60 cents.

The price surge was noted just days before the much anticipated SNL appearance of Tesla’s Elon Musk on May 8 where he is expected to reveal some interesting points about DOGE — or at least how it has changed his perception of cryptocurrency as an asset form — after tweeting that he is “The Dogefather.”

With this fueling the “doge mania,” the price predictions point towards the possibility of reaching the $1 mark, which has been the target since Dogecoin’s inception in 2013.

Meanwhile, for those who want to catch Musk’s Saturday Night Live (SNL) appearance, the show airs every Saturday at NBC, from 11:30 PM – 1:00 AM ET.

Image courtesy of Cointelegraph News/YouTube

Jet Encila

Published by
Jet Encila

Recent Posts

‘You’re the best!’ Your belief in your kids’ academic ability can actually improve their grades

We have all met the parent who thinks their kid is the next Picasso or…

22 mins ago

It takes a village: why sending your kid to childcare isn’t ‘outsourcing parenting’

A Coalition party room meeting this week debated the A$1.7 billion childcare package announced in…

45 mins ago

The case for a Tasmanian AFL team, from an economist’s point of view

No one did a cost-benefit analysis before accepting Tasmania into the Commonwealth. Should the Australian…

1 hour ago