Dogecoin had a long awaited uptick earlier today as the meme coin rose almost 35% at its peak before dropping slightly around press time. The 8th largest cryptocurrency in the world was trading well below $0.24 during the early parts of the day but registered the big uptick in successive phases during the day. It is being inferred from data that all major Shiba Inu investors are rotating their profits from the sale of the other Shiba dog-based meme coin back into Dogecoin itself. Shiba rose more than 65% yesterday to go above Bitcoin for the first time.
Dogecoin is currently trading at around $0.33 at press time after a bullish day. This kind of big upwards price movement hasn’t been seen the digital currency’s day trading for the past five months or so. The last major upticks occurred back in May when the index recorded its all time high of $0.735 back in 8th of May earlier this year. Back then, it was certain for most traders that Dogecoin was going to claim a maximum price of $1. However, that didn’t occur and it actually crashed heavily instead. It recorded a low of around $0.17 back in July and has recovered a lot from it, almost doubled in value. However, this time around, the digital currency has remained lifeless throughout this time and has been outperformed by not only other rival altcoins but Bitcoin and its pretender Shiba Inu as well. The latter even overtook its market capitalization for a short while yesterday and has officially risen over 1000% in one month alone.
However, today it was finally Dogecoin’s turn. The digital currency rose out of the ashes and is trading at $0.3 at press time. But, this increase is significant yet not enough to signal a complete trend change for the meme coin. Shiba Inu is still breathing down its neck and there are other cryptocurrencies currently ahead of it. So, Dogecoin needs to respond even stronger and fast enough and show who is the original meme coin. The influx of Shiba Inu investors into Dogecoin may just provide us with the excitement we need to see another big Dogecoin rally . For now, it still has a long way to go.
However, just like last time, traders need to be extremely cautious with their trading approach when it comes to meme coins. Memes come and go out of fashion as we are seeing now with the Dogecoin-Shiba Inu tussle. So, it is always a good idea to invest with certain returns in mind and mitigate risks especially when it comes to volatile crypto like Dogecoin.
Image Source: pixabay.com
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