Dogecoin: Did it drop after all-time high?

It’s beginning to feel like we’re on repeat, but Dogecoin soared to another new all-time high Wednesday morning, flirting with $0.70 and inching closer to the $1 mark, CNBC reports.

Why Dogecoin rose again

Dogecoin saw a 20% surge on Wednesday morning as more investors engaged in the cryptocurrency. The coin — which began as a joke and a meme but has evolved a potential investment opportunity for many — was trading at $0.68 on Tuesday before jumping to $0.70 on Wednesday, CNBC reports.

As I wrote for the Deseret News, the recent spike comes days ahead of Tesla CEO Elon Musk’s appearance on “Saturday Night Live,” which will happen this weekend.

Dogecoin fans are expecting Musk to mention the cryptocurrency during his appearance, which would likely kick off more interest and queries about the cryptocurrency. This might lead to more investments into the currency, which would drive up value and, basically, make people more money.

The problem with Dogecoin investing

Of course, this is all speculative. Adam Zadikoff, COO of BRD, a popular cryptocurrency wallet platform, told CNBC that he doesn’t see Dogecoin as a solid investment for the long term because it’s reliant on social media trends.

  • “Yes, you can make a quick buck if you time it right, but timing the market is a terrible thing to try to do. It does not work.”
  • “It’s great if you have some disposable income and you’re playing around and you’re having fun with it,” he said. “The danger is you’re the last person holding the bag.”

Is Dogecoin gambling?

Legendary investor Warren Buffett hinted that stock trading apps that allow trading of cryptocurrencies — like Robinhood — are akin to casino gambling because of the quick and easy investment opportunities, as I wrote for the Deseret News.

  • “There’s nothing illegal about it, there’s nothing immoral but I don’t think you’d build a society around people doing it,” Buffett said.