In the past one-week period, speculation over how Elon Musk’s Twitter will make use of $DOGE has helped its price double, taking its reported market cap over $16 billion, and making it the 8th most valuable cryptocurrency.
Dogecoin was initially released on 6 December 2013, as a “fun and friendly internet currency.” It was created by Billy Markus and Jackson Palmer. It is “a decentralized, peer-to-peer digital currency” that has as its mascot “Doge”, a Shiba Inu (a Japanese breed of dog). Since then, its popularity has substantially increased, especially in the past couple of years, mostly thanks to support by billionaires Elon Musk (the CEO of Tesla and SpaceX) and Mark Cuban. In fact, in 2019, Musk said that $DOGE might be his favorite cryptocurrency.
Dogecoin might be my fav cryptocurrency. It’s pretty cool.— Elon Musk (@elonmusk) April 2, 2019
According to data by TradingView, on Coinbase, currently (as of 12:53 p.m. on UTC on October 31), $DOGE is trading around $0.1208, which means a gain of 102.68% in the past one-week period.
On 27 October 2022, Dogecoin fan Elon Musk completed his purchase of Twitter.
The reason that Dogecoin is pumping so hard is that many Dogecoin fans expect Musk to introduce new use cases for $DOGE within the Twitter app and/or the mysterious upcoming “everything app” codenamed X, which he tweeted about on 4 October 2022.
It is worth remembering that on 19 June 2022, Musk tweeted that he will keep supporting Dogecoin, which was not too surprising given that he has been saying nice things on Twitter about Dogecoin for the past three years.
I will keep supporting Dogecoin— Elon Musk (@elonmusk) June 19, 2022
On 5 August 2022, the Tesla CEO had this to say about $DOGE:
“I’m mainly supporting DOGE frankly because I think DOGE has the memes and the dogs, and has a sense of humor, and doesn’t take itself too seriously...
“And I do think, actually weirdly, even though DOGE was just designed to be this ridiculous joke currency, the actual transactional throughput capability of DOGE is much higher than Bitcoin. And the fact that there’s five billion DOGE created every year is actually I think good for using it as a transactional currency.”