If there’s one lesson we’ve all learned, it’s to never underestimate the power of a meme. This past week has been saturated with headlines about GameStop (NYSE: GME), AMC Entertainment Holdings (NYSE: AMC), Blackberry (NYSE: BB), Nokia (NYSE: NOK) and the like as a result of Reddit – more specifically r/WallStreetBets – doing what the community does best: swarming on a target to prove its point. But the joke hasn’t ended just yet, with a frenzy of retail investors from other subreddits – r/SatoshiStreetBets and r/CryptoCurrency – now descending upon cryptocurrency Dogecoin (DOGE-USD), resulting in a +140% Dogecoin price spike overnight.
Following in the hilarious footsteps of r/WallStreetBets, members within the r/CryptoCurrency community promoted Dogecoin on a thread entitled ‘Dogecoin is the next GME/Bitcoin‘ in an effort to replicate the unprecedented movements of the aforementioned GME, as well as AMC, BB, NOK, and other highly shorted stocks. Last night, the Dogecoin price sat at around AU$0.01; around 2 AM this morning, it managed to climb as high as AU$0.034; at the time of this writing, it’s been holding around the AU$0.034 mark ever since.
Similar to how GameStop’s journey to the moon unfolded yesterday, Dogecoin found an ally in part-time disruptor and occasional market influence, Elon Musk. The Tesla CEO and newly-minted world’s richest man has previously tweeted in support of Dogecoin, subsequently causing some skyward movement. Just hours ago, Musk reaffirmed his stance while also alluding to how another one of his recent tweets regarding Etsy (which caused some skyward movement of its own).
What a time to be alive.