Alt-cryptocurrency Dogecoin skyrocketed by almost 80% after retail investors increased their buying into the digital currency market.
Dogecoin, which began as a ‘joke’ cryptocurrency based on an internet meme, ballooned over 40% to around $0.01 per coin.
Bloomberg has said users of the Reddit thread SatoshiStreetBets bragged about the gains with one poster claiming “Doge = crypto GME,” with “GME” being the game retailer GameStop which recently quintupled in value.
Another poster posted “we need doge to go to $1.”
Dogecoin has a market cap of around $1.4 billion, putting it at rank 33 in the most valued cryptocurrency list, according to crypto-tracker CoinGecko.
Before the Reddit-triggered chaos that sent shares of GameStop upward by 700% and piled on about $8 billion in value, the company was a struggling game retailer trying to find a way to get a slice of the download market while also finding a path to entice visitors during a pandemic-triggered decrease in store traffic.
The addition of Chewy Inc. founder Ryan Cohen from RC Ventures LLC led to an unpredictable increase in the company, fueled partly by retail investors from Reddit’s chatroom called ‘WallStreetBets’, where traders share hype and tips for stocks they are investing in. A large thread on GameStop currently reached 38,000 comments.
GameStop shares soared 1700% since that time, including this week’s one day surge of 135% that has the stock valued at $380.00 each. That puts GameStop’s value at over $26 billion.