Is it too late to buy into Dogecoin?
That’s the question on some people’s minds heading into the weekend, according to The Wall Street Journal. Right now, longtime investors are trying to get their friends to buy in. Both those friends are worried they might be buying in a little too late.
- “In many ways it’s encouraging to see more people dipping their toes into trading, but this is more like betting on a horse than investing,” Streeter told The Wall Street Journal. “It’s very difficult if not impossible to determine when demand will subside.”
Dogecoin is an interesting beast when it comes to investment right now. The cryptocurrency relies on social media hype and discussion to maintain its value. Because it has no physical value (since it’s not a physical item and can’t be sold or used in stores), the cryptocurrency gains value by people talking about it and investing in it.
This has led to something like gambling for investors. People are investing hoping the value will stay high. But it’s really unclear.
This weekend will be one of the biggest turning points for Dogecoin. Tesla CEO Elon Musk, a major Dogecoin fan, is expected to host “Saturday Night Live.” Investors believe he will mention Dogecoin and send its value skyrocketing, as I wrote for the Deseret News.
But, at the same time, there’s a chance he won’t mention it at all.
According to Fortune magazine, this “could mean lots of pain — or euphoria — for investors, and likely heaps of both, depending on which side of the trade one falls.”