Main navigation

Elon Musk's Tweet Sets Dogecoin (DOGE) on Fire: Craze and Fade in Mere Minutes

Wed, 08/23/2023 - 12:28
article image
Gamza Khanzadaev
DOGE eyes explosive 81,300% volume surge thanks to eccentric X owner
Elon Musk's Tweet Sets Dogecoin (DOGE) on Fire: Craze and Fade in Mere Minutes
Cover image via www.youtube.com

Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.

Read U.TODAY on
Google News

In the latest chapter of the ever-evolving saga between billionaire entrepreneur Elon Musk and the world of cryptocurrencies, Dogecoin (DOGE) has once again found itself at the heart of a whirlwind of activity. Musk, known for his eccentricities and influential Twitter presence, sent shockwaves through the crypto market with a single tweet, igniting a frenzy around the meme-inspired coin.

The effect was immediate and staggering. Trading data from Binance, the world's largest crypto exchange, revealed an eye-popping 81,300% surge in DOGE trading volume against USDT within the span of just one minute. This astronomical increase translated to a jaw-dropping 40.379 million Dogecoins changing hands. Interestingly, a deeper analysis of the Buying Selling Volume indicator unveiled a distinct pattern: 25.69 million coins were snapped up by eager investors, while the remaining portion was swiftly offloaded.

Source: TradingView

The aftermath of Musk's tweet propelled DOGE to a 2.57% surge in quoted prices. Yet, this bullish momentum was short-lived as the cryptocurrency's value plummeted by a staggering 80% within a mere hour.

Related
Can Dogecoin (DOGE) Spark Long-Awaited Altcoin Rally?

This roller coaster ride serves as a stark reminder of the perils of relying on Musk's social media activity as a viable trading strategy. The recurring pattern observed in such instances has become a red flag for seasoned traders, suggesting a higher probability of losses. Adding to this complexity are lightning-fast trading bots that exploit these discernible trends with precision.

article image
About the author

Financial analyst, trader and crypto enthusiast.

Gamza graduated with a degree in finance and credit with a specialization in securities and financial derivatives. He then also completed a master's program in banking and asset management.

He wants to have a hand in covering economic and fintech topics, as well as educate more people about cryptocurrencies and blockchain.