Investors have their eyes on dogecoin and shiba

Despite the last two crypto-crashes, investors are making a strong comeback to the cryptocurrency market.

While bitcoin and ether remain the two main cryptocurrencies in terms of capitalization, the attention of cryptocurrency investors is currently turning to somewhat exotic cryptocurrencies, in particular dogecoin and shiba inu, underlines an analysis by Marketwatch .

The same stocks are regaining strength

We talked a lot for a while about what we called the same stocks on the stock market on Wall Street, values ​​that had fallen so low that they became a bit of the plaything of the communities of traders on social networks: Gamestop, Bed Bath and beyond, etc.

Imagine that they are regaining strength at the moment on Walll Street and that they tend to clearly outperform a market that remains a little hesitant. We find this same trend in the cryptocurrency market. We put bitcoin and ether aside, on which volatility has fallen a lot lately, to look at other cryptocurrencies.

According to data from Coinmarketcap, over the last seven days, bitcoin has risen by 6%, ether by 15%, but dogecoin, the famous cryptocurrency that Elon Musk wanted to use to finance lunar journeys, has risen by 25%. % and shiba inu, a similar dog-headed cryptocurrency, rose 33%.

Analysts believe that we are starting to have some diversification of portfolios among crypto investors to have solid and some slightly exotic bets to take advantage of stronger dynamics. But beware, we are talking about cryptocurrencies that are not even worth a penny, so it really remains to be handled with infinite precautions.

Gain exposure to riskier assets

These dog-headed cryptocurrencies benefit from the positive wake of what is happening on the big cryptocurrencies, the general optimism of the market, the future evolution of the Ethereum blockchain… Similarly, the rise of dogecoin can s explain thanks to the launch of Dogechain, a blockchain that uses this cryptocurrency to develop decentralized applications.

“Retail investors are looking at all of these positive signs and using them as an opportunity to gain exposure to riskier crypto assets that they hope will give them better bang for their buck,” said market strategist Joel Kruger. at LMAX.

But be careful, the soufflé can fall quite quickly and in the event of a reversal or doubt on the markets, these will be the first assets to suffer from a “flight to quality” movement (return to safe values), but power 10 or 100.

Antoine Larigaudrie edited by PA

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