Opinion

Billy Markus, Co-founder of Dogecoin Warns and Advises Crypto Investors , Here’s What He Says

Written by: Elena R

Written by right arrow

Elena R

Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

  • author twitter

May 20, 2022

news-image

The co-founder of Dogecoin advises crypto investors to do their homework and keep informed about their investments. Analysts have discovered a bullish pattern that might trigger a rally in Dogecoin as the meme coin falls under pressure.

While Dogecoin’s founder pointed out the lack of fundamental awareness among crypto investors, the Shiba-Inu-themed cryptocurrency derives the majority of its trade volume and activity from the buzz surrounding its joke coin.

Research First, Plan Next

In a recent tweet, Billy Markus, co-creator of Dogecoin, expressed how he does not think highly of investors who don’t understand how the market works. Markus advised traders interested in investing to use a two-step strategy: first, research the fundamentals of cryptocurrencies and markets in general, and then plan.

Markus’ tweet, according to supporters, references Terra’s LUNA and UST meltdown, in which the algorithmic stablecoin TerraUSD lost about 97 percent of its value in a week. Terra’s massive meltdown has been compared to a “bank run” in cryptocurrencies, wiping away approximately $39.2 billion in the market value of Terra’s LUNA and UST in less than seven days.

After UST, Dogecoin lost out on its winnings and posted 37 percent losses in the crypto market slaughter precipitated by the Federal Reserve tightening its monetary policy and the de-peg of stablecoins.

A gain in DOGE that is latent or inactive is a bullish indicator since it indicates an increase in Dogecoin accumulation. The supply of meme coins that have been sitting idle is effectively withdrawn out of circulation, lowering the supply and driving up the price.

Several market participants departed after large wallet investors got positive on DOGE, acquiring the meme coin and holding it dormant since the beginning of 2022. The overall number of active addresses reached an all-time high of 748,890 in March 2022, but market players quickly abandoned DOGE.

Whales Remain Bullish for DOGE

Despite the meme coin’s latest fall, analysts remain bullish on it. The price of Dogecoin has not recovered from the market downturn and has dropped over 5% in the last 24 hours.

Analysts have examined the Dogecoin price chart and discovered a technical pattern that, if confirmed, indicates a trend reversal and a breakout in DOGE. On the intraday Dogecoin chart, analysts have discovered a symmetrical triangular pattern. For the meme coin, this pattern is considered bullish. If this scenario plays out, DOGE might see a 15% price increase.

Show More

Was this writing helpful?

dislikeimage No myImage Yes

Elena R

Elena is an expert in technical analysis and risk management in cryptocurrency market. She has 10+year experience in writing - accordingly she is avid journalists with a passion towards researching new insights coming into crypto erena.

Related Articles

Back to top button