Dogecoin Spikes Over 1,900% in 2 Days Amid Viral TikTok Videos
Trading volumes of the currency grew over 1,900% in the last couple of days, according to data from Messari. Videos on the social media platform TikTok encouraged users to invest. The asset's price climbed 35% to $0.035 during the same period.
According to one of its founders Jackson Palmer, Dogecoin is a 'Joke Cryptocurrency'. As such, impromptu social media-based frenzies may be a fitting case for use. The daily volume for the CC stayed much below $5 million in the past two months.
“The recent rise of dogecoin, a meme coin, should serve as a reminder to everyone in the space that the most popular use case for crypto is still purely speculation,” - Anil Lulla, former analyst at Bloomberg and co-founder of cryptocurrency research firm Delphi Digital.
Global research interest in 'how to buy dogecoin' also skyrocketed from a score of 25 to 100, the highest achievable search popularity score, over the past few days, according to 12-month Google Trends data.
Some of the videos on TikTok, a China-based popular social media platform, garnered more than 100,000 likes, while all videos with the Dogecoin hashtag amassed several million.
For speculators and meme fans, dogecoin offers a different value proposition than other cryptocurrencies, according to Qiao Wang, an independent cryptocurrency trader. The value of most top cryptocurrencies 'comes from monetary premium,' said Wang. 'Dogecoin’s value comes from memetic premium.'