Long-term tailwind?: This could mean the Twitter takeover for the Dogecoin | news

Cryptocurrencies have corrected sharply over the past few weeks. Speculative investors now trade CFDs on the world’s most popular cryptocurrencies with leverage and 24/7 availability with Plus500.

act now

Plus500: Please note the Hints⁵ to this advertisement.

—

In the past, the visionary Musk had had a great deal of influence on the fun currency Dogecoin and repeatedly caused price jumps with individual statements. The Tesla CEO calls himself “Dogefather” and has already announced that the car manufacturer’s merchandise can be paid for in the cryptocurrency.

Will the Dogecoin be integrated into Twitter?

This is now fueling the hopes of DOGE fans that the Twitter entry could boost crypto initiatives at the short message service. So there is already the option that tips can be paid in Bitcoin or Ethereum. The option could possibly be extended to DOGE accordingly.

Long-term uptrend?

On April 25, the DOGE price rose by 27 percent to $ 0.1677 via CoinMarketCap. DailyFX analyst Tammy Da Costa told TheStreet optimistic that this surge could be a longer-term trend: “With a Twitter following of 87.8 million, the Dogecoin could continue to rally if the decision to use the coin as a payment method to implement that increases institutional interest. Now that there are thousands of cryptocurrencies to trade, the blockchain is where ‘value’ resides.”

Unicoin founder Alex Konanykhin also told TheStreet: “Elon Musk’s purchase of Twitter could shake up the cryptocurrency market as most cryptocurrencies have no assets and only perceived value.”

More than Twitter application needed

Cryptocurrency expert Frank Corva told the industry portal that Musk’s preference for the Dogecoin could be due to the fact that he has more opportunity to exert influence here: “As there is no hard limit to the number of DOGE coins that can be created , Musk could exercise more control over DOGE’s monetary policy than Bitcoin, which is finite.”

In addition, Corva is of the opinion that the references to Dogecoin that are thrown in from time to time, such as funny DOGE memes, which the Tesla boss likes to post on Twitter, can no longer give the fun currency any real boost. In order to pull this off, real news is needed: “In order for Musk to cause another dramatic surge in DOGE price, he would likely need to announce that he has something substantial in mind for the cryptocurrency, given that over the past 11 months his playful rhetoric has been all about DOGE no longer really drove the price”.

Tackle technical construction sites

Nimbus Platform CEO Alex Lemberg also spoke to TheStreet on the subject of Dogecoin and Twitter. He emphasized that the cryptocurrency would first have to further refine the technical implementation in order to clean up some “fundamental problems” such as the “inflationary structure” before the dog coin could go up in the long term. Alongside this, the expert warned that more integrations of the cryptocurrency could lead to an upward trend, however, according to him, “it would take more than Twitter to have a big impact in the long term”. The DOGE course came back shortly after the Twitter takeover announcement, which shows “that the community is also questioning how much influence Twitter can have on DOGE”.

Time will tell how the cryptocurrency will ultimately continue and whether it will be integrated into Twitter as a payment option at all. Most recently, the Dogecoin was quoted at $0.1035 (as of May 11, 2022).

Editorial office finanzen.net