Wanting on the value chart of Dogecoin (CCC:DOGE-USD), it’s clear that one thing’s awry at the moment. The worth of DOGE briefly plummeted from 32 cents to 9 cents in what seems to be a flash crash. Accordingly, buyers could also be questioning what kind of Dogecoin (DOGE) information led to this lightning-fast drop on this digital forex.
Certainly, buyers proceed to play shut consideration to Dogecoin. In any case, this cryptocurrency nonetheless holds sixth place amongst all crypto choices proper now. Its market capitalization of greater than $42 billion has taken many abruptly. This goes double for individuals who contemplate that this digital coin was created as a joke by its founders.
Nobody is laughing now. Dogecoin has seen its worth climb to unbelievable heights this 12 months, reaching greater than 72 cents. Since reaching this excessive in Might, Dogecoin has misplaced greater than half its worth as a bear market in crypto takes maintain.
Let’s dive into what has pushed this outsized volatility in Dogecoin at the moment.
Right now’s Dogecoin (DOGE) Information Driving Volatility
On Friday, Thailand’s Safety and Alternate Fee (SEC) announced a ban on meme tokens and non-fungible tokens (NFTs). Certainly, for followers of Dogecoin, that is one more massive regulatory blow. Circulation of those reviews seems to be driving some critical volatility for meme tokens at the moment.
Granted, Thailand didn’t name Dogecoin out by title. Nonetheless, its affiliation as a prime meme decide amongst cryptocurrencies has many buyers placing two and two collectively.
Certainly, these meme cryptos stay extremely speculative, extra so than conventional cryptocurrencies. Thus, buyers must train correct portfolio self-discipline and apply correct danger administration.
On the date of publication, Chris MacDonald didn’t have (both instantly or not directly) any positions within the securities talked about on this article. The opinions expressed on this article are these of the author, topic to the InvestorPlace.com Publishing Guidelines.