While retail investors high-tailed it out of GameStop after regulators stepped in to stem the bleeding from hedge fund pockets, over in crypto, another bubble emerged overnight.
The currency in question was Dogecoin, and the band of retail investors looking to pump - and it seems, dump the project - was a WallStreetBets copycat subreddit called SatoshiStreetBets.
On Thursday, the community which boasts 86,500 users started discussing emulating the explosion in the price of GameStop stock on Dogecoin.
BUY DOGE. IMAGE: SatoshiStreetBets
The coin, which started the day $0.007 reached highs of $0.035 as redditors took to exchanges to push up the price, and help the project go viral.
The rise and fall of DOGE. IMAGE: Nomics
In 24 hours, trading volume went from a flat $230 million to $17.5 billion, pushing the project’s market cap north of $9 billion according to data company Nomics. Dogecoin became a trending topic on Twitter globally, beating out news of the death of American actress Cicely Tyson.
Everyone is talking about DOGE. Image: TwitterTrends
But no sooner had the price shot up and everyone was celebrating the price surge, money started flowing out of Dogecoin into other projects according to Luke Martin, an analyst over on Twitter.
It pains me to say this....it really does...but it looks like the hot ball of money that pumped $DOGE has started to move into $XRP.$XRP is up 20% in the last 2 hours while the rest of the market is flat. pic.twitter.com/ck3ityU7rd
He noticed that money appeared to be siphoned away from DOGE into XRP, which saw a 20% rise in a couple of hours. The price at the start of the day on Friday has collapsed back down to 0.008 to roughly where it had started 24 hours before. Some weren’t very happy.
Unhappy. IMAGE: Reddit
While the boom was short lived, asset prices across crypto have turned green, with Ripple up 7.6%, and Stellar up a whopping 23%. Bitcoin and Ethereum ticked up but didn’t seem to get caught up in the DOGE hysteria.
The moral of the story? Anything fiat can do, crypto can do better.
Wall Street bounces back as investors split over retail market moves
It's been a topsy turvy week for Wall Street. Yesterday the markets recorded their biggest losses in months, but today things are back in the green.
The Dow, S&P and Nasdaq all closed up as US joblessness figures dropped below 900,000 for the first time in weeks and the US economy gears up for a recovery. But while that was happening, the investors that had pushed up GameStop were at it again.
Nokia's rise and fall. IMAGE: TradingView
Shares of AMC soared in late trading after a regular-session slide, as did shares of BlackBerry, Express, Bed Bath & Beyond and Nokia.
While many opinion pieces have pointed out that the story is about one of inequality: wealthy people have continued to get richer off the back of distressed companies, others are mad as hell.
Hedge fund billionaire Leon Cooperman took to CNBC to tell everyone how unfair it was that new retail investors were upsetting the order of things.
Minutes after President Donald Trump signed the GENIUS Act into law, the CEOs of the world’s two largest stablecoin issuers laid out their plans for complying with the landmark legislation, with each making the case that their own company is better suited to America’s new regulatory landscape.
Paolo Ardoino, CEO of Tether, the world’s top stablecoin issuer, told Decrypt Friday his company intends to make sure USDT—its flagship dollar-pegged token—complies with the GENIUS Act’s regime for foreign...
Charles Schwab would like to issue its own stablecoin, its CEO Rick Wurster told analysts in an earnings call Friday, adding the firm to a growing list of traditional finance giants exploring the tokens as the U.S. prepares to enshrine stablecoin regulation into law.
"Stablecoins are likely to play a role in transacting on blockchains and that's something we do want to be able to offer,” Wurster said.
The executive's comment on offering a dollar-pegged token comes as Schwab aims to deepen its...
Bitcoin treasury giant Strategy has always been coy about naming its BTC custodians. But people outside the firm do know who they are.
For starters, Strategy has repeatedly cited its “various custody arrangements”—there is no one exclusive custodian that’s holding onto its nearly $72 billion worth of BTC on the company’s behalf. A spokesperson for Coinbase confirmed it is one of Strategy's custodians when asked by Decrypt—but stressed that MSTR has previously named Coinbase as one of its custodi...
