Breaking into the crypto top 10 by market cap, Dogecoin (DOGE) has had an impressive run over the past day. Many fail to understand the rally and its fundaments, but numbers tell a straightforward story.
DOGE is trading at $0,39 with a 197.3% profit in the 24-hour hours. In the past week, the cryptocurrency is up 540.9% with a 573.7% in a month. The one-year chart shows a 20,216.4% increase.
In terms of market cap, at the time of writing, Dogecoin is the fifth-largest cryptocurrency and has managed to overtake Cardano (ADA), Polkadot (DOT), Litecoin (LTC), Uniswap (UNI), Chainlink (LINK). These projects have some of the most important developer teams in the crypto industry.
According to trader Josh Rager, DOGE has the biggest trading volume in the past day for Binance U.S. With a $638,653,544, trading pair DOGE/USD has seen more activity than BNB, BTC, VET, ETH, ADA. Only the pair USDT/USD comes close to DOGE with a $121,930,293 daily trading volume. Rager added:
Front running $0.50 for a short in $DOGE was the play. Could still hit $0.50 and above – but nice trade for anyone who got in short around $0.45
Other traders have given up on trying to understand the reasons for the pump and have taken long positions on DOGE. Trader Kaleo shared an insight via Twitter predicting a Dogecoin to $1.00. This target could be the cryptocurrency’s top for the current bullish cycle.
Who would have thought we would ever see a new DOGE/BTC ATH again
Crypto 🤯 pic.twitter.com/SLXgqLBtDx
— //Bitcoin 𝕵ack 🐐 (@BTC_JackSparrow) April 16, 2021
DOGE, reasons behind the rally
DOGE’s popularity seems to be a direct consequence of the “Elon Musk Effect”. In the past months, the entrepreneur has made several comments on the cryptocurrency contributing to the hype.
Musk even offered DOGE whales to buy their supply to tackle this cryptocurrency’s biggest “flaw”. According to Musk, DOGE’s supply is too centralized and should be redistributed to more users.
Doge Barking at the Moon pic.twitter.com/QFB81D7zOL
— Elon Musk (@elonmusk) April 15, 2021
In spite of the rally, Musk has yet to tweet about DOGE. If he does, the hype could come into a new stage rising Dogecoin’s volatility, but with another bullish momentum.
If DOGE rising to a $50 billion market cap requires an explanation, its creator Billy Markus A.K.A. Shibetoshi Nakamoto offered it:
Why is Dogecoin worth what it’s worth right now? It is for the following reason: Why not?