Founder of Grayscale and several other crypto ventures, Barry Silbert, suggested that dogecoin holders should sell their coins for Bitcoin. Silbert’s tweet kicked off a frenzied trading hour, with 5 – 10% swings happening within minutes, mostly leaning bearish. The 3X short dogecoin token on FTX is up almost 25% since Silbert’s tweet.
DOGE has enjoyed a fabulous rise over the past few weeks, skyrocketing to new highs on the back of renewed interest from both Elon Musk and the general investor crowd. While many enthusiastic Dogecoin investors have assured themselves that the volatile currency is on the road to $1, several thought leaders in the cryptocurrency space view this rise as a mania-fuelled bubble destined to pop. Several big names in the space agree with Silbert in that newbies making quick gains should siphon them into a safer risk-adjusted bet like Bitcoin.
If you look at the DOGE coin percentage gain, in the last 12 months it has grown by 21,820.31% according to CoinMarketCap data which is just phenomenal. Most of this rise attributed to the last 3-4 months starting Jan 2021 when Tesla founder Elon Musk openly started praising the meme coin and called himself ‘dogefather’.
Well, Silbert’s tweet was for long-term investors to make informed and thoughtful decisions because most of those who are currently investing in dogecoin are newcomers who need to hear this advice but it seems doge fans didn’t like it and trolled him in comments.
Based on what happens on Elon’s SNL tonight, Silbert might be contending with retail investors all across the US. Although Silbert is winning his trade as of now, it’s not clear who will emerge victorious in the final analysis. Many variables are yet to play out, primarily the self-proclaimed ‘wild card’ Elon Musk. To make this battle especially interesting, Silbert has pledged to donate $1M to charity if DOGE hits $1 by the end of May, which adds even more fuel to the fire.
The price of Dogecoin is something the whole world is closely watching. As Mike Novogratz (CEO of Galaxy Investment Partners) said, it’s “young people’s middle finger to the system,” and there are huge players with some big dogs (or bears!) in this fight. Regardless of what happens on dogecoin’s road ahead, it will undoubtedly be a tale for the crypto history books.