If you know about cryptocurrency, you will understand that certain events can have a big impact on their worth and how well they do. A sudden event can cause the value of crypto to surge, or it can fall flat and lose its value. If you are trading, this is why you need to keep an eye on what is going on so that you can make the right decisions.
For example, there has been a lot of media attention given to Elon Musk and his taking over Twitter. But, the big question in the cryptocurrency world is; will this benefit Dogecoin? Let’s take a closer look and find out the answer so you can decide whether to buy Dogecoin.
The Twitter Takeover
We have to remember that Dogecoin was never meant to be a serious thing. In fact, Billy Markus and Jackson Palmer made this a meme coin and one that was a joke. It has a funny Shiba Inu theme and it never really had a purpose other than being a bit of fun. But this is likely going to change and this could be done by Elon Musk.
It was back in April 2022 when Elon Musk started the acquisition of Twitter. This process concluded at the end of October and now, he is the largest shareholder in the company. There are many people that have backed his takeover since he is someone that believes in free speech. In other words, they are excited that this has returned to the platform and that everyone has the opportunity to speak. For example, people like Donald Trump, the former US president, could be allowed back onto the platform after all of the trouble in the past.
The media has been all over Musk and his takeover of Twitter. Indeed, people want to know what changes he is going to bring to the platform. After all, there is already speculation that he plans to change a lot and innovate Twitter. But, we also have to consider that Elon Musk is linked to cryptocurrency. Indeed, most people know that he supports it and this could mean that Twitter and crypto are going to be linked.
The Changes in Dogecoin
Even during the speculation, Dogecoin has been moving in the background. In particular, the price has improved significantly and it doubled in just one week. Yes, it has not reached its all-time high. But we can clearly see that Twitter and its takeover have had positive effects on this type of crypto. This is after thinking that Dogecoin was on its way out and would not be revived. But, as we can see, this is the power of one event. Things are changing and it has a new lease of life.
People are speculating that Musk could allow the crypto to reach new heights. In particular, he could allow crypto payments on Twitter. This would allow users to pay for things and suddenly, the meme coin could have more purpose.
There is no doubt that when Musk speaks about Dogecoin, things happen. In the past, the value has changed just based on something he would tweet. Indeed, he is a supporter of this crypto and this is going to be realized through the takeover of Twitter. If he does decide that it is going to be a currency on the platform, it could reach amazing heights. After all, this is believed to be around 396 million users on Twitter.
Should You Invest in Dogecoin?
Of course, with everything that is happening and the media coverage, you probably want to know; should you be investing in Dogecoin? Well, this is going to be a decision you have to think long and hard about. In particular, you have to remember that all cryptocurrencies can be volatile. In other words, their value can change very quickly and this can sometimes be without warning. So, you have to figure out whether you want to take on this risk.
In particular, it is not yet clear what is going to happen with Dogecoin. Yes, the value seems to be going up and things are changing. But, what does the future hold? You will have to think long and hard about whether you want to take advantage of the Twitter takeover. In particular, you might only want to invest money you are prepared to lose.
Something you should note is that there has been some movement in the crypto market recently. In particular, this has been a crash. But in terms of what is happening with Twitter, this has been positive for Dogecoin. The predictions are that this could be a good cryptocurrency for long-term investors.
In particular, there could be a rise in the next few months, which would mean that you can enjoy returns. You will have to study the numbers for yourself and see what the trends are. This way, you are going to have all of the information you need to make a decision.