The twitter acquisition by Elon Musk spiked the price of Dogecoin. Whales actions have pushed Dogecoin to top ten trade volume in the past 24hrs. The movement in rank happened when the trading volume of Dogecoin moved to $2.59b on the 25th of April.
The value of Dogecoin spiked up to 27% after Elon Musk’s acquisition of Twitter with $44B was announced. Although there was a downtrend the next day after the announcement it didn’t reduce the trading volume as said by onWhalestats.
The bullish movement of Dogecoin is not only because Elon Musk bought Twitter, but because the Dogecoin community noted that contribution to Twitter’s growth, this can also mean that Dogecoin is a utility token.
Dogecoin will survive to the future as a utility token if it is embraced by other business organizations and investors as a means of the transaction if the gap between Dogecoin and Ethereum can be covered, and if the Dogecoin can be Useful in web3.
Further Opinion On Dogecoin Future
As reported by Ali Martinez an analyst in the Crypto space, over $100,000 Dogecoin was transacted crossing over 2400 was recorded on April 25. He stated that such activities can be whale actions that may bring a huge pump of Dogecoin.
In a tweet, an unknown press man Altcoin Sherpa gave his view. He said there might not be a lasting rally for Dogecoin soon stating that it can happen when a cycle is about to finish. However, he noted that Elon Musk’s acquisition of Twitter and his hype can bring about a good pump in price but for the meantime.
Although there is some doubt about the future of Dogecoin still some have shown faith in the coin. In a tweet, Vlad Tenev, CEO and Co-founder of Robinhood expressed his faith in Dogecoin that it might be a coin that will make waves on the internet in time to come. He posited that the fee of transacting Dogecoin is relatively low compared to other cryptocurrencies and as such can be an advantage to its survival. He also acknowledges the fact that Dogecoin needs to have at least 1000x throughput to survive.
What Else To Note About Dogecoin Survival
Although there is a lot of faith shown in the coin, analysts have also pointed out that there might be a shrink-back. As of May, the price was about 0.1449 which is low compared to the all-time high of $0.731578 seen on May 8th, 2021. As of today, the price of Dogecoin has recorded a 4.21 increase in price since yesterday.
Dogecoin might experience a downtrend and enter a bearish condition unless it breaks out the resistance to a bull run. In addition, the market cap of the coin pulled back by 15% during the window period from $22.76b to $371.33 in January to $1.01b as of now.