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Monday, March 24, 2025

Dogecoin rises by 20% after the announcement of the imminent closing of the transaction on the purchase of Twitter by Elon Musk

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Dogecoin ( DOGE ) is up 20% this Thursday to a new monthly high of $0.08028. For a week, the growth is already more than 30%, which is the highest rate in the top 30 cryptocurrency market. As a result, Dogecoin is now the tenth largest crypto asset with a capitalization of $10.5 billion.

According to Coinglass, Dogecoin has become the third cryptocurrency after Bitcoin and Ethereum in terms of liquidations over the past day with a value above $10 million. The Shiba Inu token (SHIB) is also growing, sharing a common theme with the popular meme coin. It has risen by 7%.

The rise of Dogecoin comes amid the announcement that the deal to buy Twitter by Elon Musk is likely to close. According to Bloomberg, this could happen on Friday, October 28th. Musk initially announced his intention to buy Twitter for $44 billion in April, but backed out of the deal in July, citing the social network’s reluctance to provide information about fake accounts. Subsequently, the company filed a lawsuit against the entrepreneur, and at the beginning of the month there was information that he offered to complete the deal on the original terms if the proceedings were suspended.

Musk has repeatedly mentioned Dogecoin in Twitter posts in the past, calling it his “favorite cryptocurrency” and influencing the course. In June, he wrote that he would “continue to support Dogecoin.”

According to InfoTheBlock, positive changes are also observed at the level of the cryptocurrency network. The number of addresses used to hold Dogecoin for more than a year hit a new all-time high of 2.81 million. At the same time, the number of short-term Dogecoin holders fell to its May 2020 level of 132,000. The cryptocurrency hash rate also hit a new record of around 520 TH/s. A year ago at the same time, DOGE was trading at $0.25.

Musk-led Tesla announced last week that it did not sell bitcoin in the third quarter, after liquidating 75% of crypto assets in the second. The company still has $218 million worth of bitcoins in its reserves. The company did not register losses on its position in the cryptocurrency, since the value of bitcoin has not changed much since then.

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