Top line
The value of Dogecoin, a cryptocurrency originally invented as a joke, rose on Thursday as Reddit traders signed up in an attempt to reflect the mind-boggling rises of companies in short companies like GameStop, BlockBuster and AMC.
The value of Dogecoin increases as some Redditors try to emulate r / WallStreetBets (Photo by Yuriko … [+]
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Key factors
At the time of writing, Dogecoin was up 56% in the last 24 hours and experienced a 1,421% increase in trading volume according to cryptocurrency data firm CoinMarketCap.
Reddit users in the r / CryptoCurrency and ir / SatoshiStreetBets discussions referred to r / WallStreetBets ’efforts to pull Wall Street stores out of very short stocks and urged people to buy Dogecoin.
Many do so enthusiastically and a thread, titled “Dogecoin is the next GME / Bitcoin” (GME is GameStop Corp.), said that getting Dogecoin at $ 1 a coin (currently around $ 0.01) would be “a success amazing “and” completely change the crypto market … Dogecoin to the moon “.
Other encouraging posts said “it’s doge time”, “we need doge for $ 1” and “Doge = the crypto gme”.
Key background
Thousands of home traders, many of whom use Reddit forums to report on their trading, are accumulating resources in a series of very short actions that they don’t like to try to kick out and penalize Wall Street’s main pillars. These meme companies include the failed Blockbuster, GameStop, BlackBerry, and AMC. The erratic and unpredictable markets have worried officials and White House press secretary Jan Psaki said the Treasury Department was “overseeing” the negotiation. “However, it’s a good reminder that the stock market isn’t the only measure of the health of the economy,” Psaki said.
Great number
24,900. This is the number of members that the r / SatoshiStreetBets subreddit has. Satoshi Nakamoto is the pseudonym creator of bitcoins.
Amazing data
A single three-word tweet from Elon Musk in December caused Dogecoin to skyrocket by 20%. An earlier one tweet of Musk, which represents the currency consumed by the global financial system, saw it increase by 14%.
What to look for?
Regulators and technology companies monitor the situation with traders. The Discord chat app banned the r / WallStreetBets forum for hate speech, and the Reddit forum temporarily went by invitation only on Wednesday. Forbes has contacted Reddit to comment.
To read more
Not just GameStop: here are the Meme shares that WallStreetBets marketers are raising during this ‘extremely erratic’ Reddit Rally (Forbes)
“Let’s all get rich”: TikTok teen traders want to send a rival Bitcoin dogecain to the Moon (Forbes)