After Musk completed his acquisition of Twitter, the price of Dogecoin rose by 126% in one week, which saw an increase from $0.0629 to $0.14 within 7 days.
The surge was also accompanied by a decent increase in its daily trading volumes. This coincided with a spike in the number of DOGE transactions exceeding $100,000. Both indicators suggest a growing demand for Dogecoin tokens lately among whales.
The coin continues to witness an unstoppable rally in the crypto market lately after its gains surpassed the 100% mark in a week.
Over the last 24 hours, the price of Dogecoin extended its bullish run to 21% higher bringing its total accumulated gains to 112% in just a week.
The reason why Dogecoin is recently doing so well in the crypto market, is due to the fact that the coin has been endorsed by Tesla CEO Elon Musk, who continue to throw his weight behind the coin
Also, his companies Tesla and SpaceX organizations already accept DOGE payments for their merchandise which has sparked speculations from investors that Dogecoin (DOGE) might be integrated into Twitter as currencies of trade on its platform. This has been a major reason why so many investors have been trading the coin lately.
These investors understand that if the coin is eventually integrated into the micro-blogging platform, it will lead to a mass adoption, which would see a massive explosion in DOGE price.
As Elon Musk announces more updates about Twitter and probably hints at the use of crypto coins, then these coins stand a high chance of exploding.
6 months ago, the coin maintained a bullish stance when Elon Musk made a bid to purchase the microblogging platform. The coin however later saw a sell-off in June after he tried to opt out of the acquisition deal.
Introduced in 2013, Dogecoin was the first meme coin to be designed as a decentralized payment system. The coin has for a long period maintained a low profile as an altcoin before it later caught the attention of cryptocurrency investors during the price increase of 2020, which was also influenced by Musk.
Popular tech blogger Jane Manchun Wong known for her prescient calls in the space, tweeted that Twitter was “working on a ‘wallet prototype’ that supports ‘crypto deposit and withdrawal.'”
“We don’t know which kind of cryptocurrency will be supported yet, or which network,” she stated.
On the other hand, Twitter has not announced a cryptocurrency wallet product, but the micro-blogging platform rolled out a tipping feature last year, which allows users to send creators bitcoin and Ethereum via the platform.