Faithful followers of Dogecoin announced that April 20th will be "Doge Day", but on Wall Street, having your own day does not guarantee longevity or its legitimacy.
However, this kind of cryptocurrency that started as a joke deserves a little bit of support. Dogecoin (DOGE -USD ) was created by software engineers in 2013 as an "interesting" alternative to Bitcoin ( BTC-USD ). It is based on a "DOGE" meme with a Shiba Inu and the meaningless short sentences of the colorful "Comic Sans-font" font are characteristic. Dogecoin is now the top ten digital currency with a market value of $50 billion, and its market value is larger than Exxon Mobil ( XOM ) and Ford ( F ). Fans want to see Dogecoin rise to $1 on April 20, and it was worth 9 cents a week ago.
But this hasn't stopped the Reddit stock discussion forum WallStreetBets's enthusiasm for Dogecoin. Even well-known consumer brands have joined the ranks.
Conagra ( CAG ), the producer of Slim Jim beef jerky, posted on Twitter last week "RT, send Dogecoin to the moon!!"-This replicates the familiar Reddit crowd's cry for GameStop stock. slogan.
Since then, Mars, the parent company of Snickers and Milky Way, began to join the Dogecoin trend on social media, and Tesla ( TSLA ) CEO Elon Musk also expressed support for this cryptocurrency on Twitter.
When talking about cryptocurrencies, Ghabour said that Ethereum ( ETH-USD ) and Bitcoin are two crypto assets that he believes will survive when the bubble finally burst.
"My view on cryptocurrency is the same as that of the dot-com bubble in the 1990s. Eventually, that bubble burst in March 2000. This will happen again. We are definitely in a bubble," he said. "That's why you see asset prices inflated like they are now. Cryptocurrencies are the most speculative of all these risky assets."
For investors plagued by FOMO (fear of missing out), Ghabour believes that some cryptocurrencies still have a lot of room to rise in the coming months-but not all.
"As long as we are still in this reflationary trade (reflationary trade), we believe that at least the next quarter (may be two quarters) will remain unchanged, Bitcoin and Ethereum may become assets with higher returns, because this It is indeed a risky transaction."
On Tuesday, PayPal ( PYPL )’s mobile payment application Venmo announced that it will allow users to buy, hold and sell four different cryptocurrencies - Bitcoin, ether (ether), litecoin ( LTC-USD ) and Bitcoin Bitcoin cash (bitcoin cash) has a minimum consumption requirement of $1, making cryptocurrency the mainstream once again.
"I believe that they will continue to exist for many years. Institutional investors will continue to buy and make it an asset class," said Ghabour, who increased his holdings of Bitcoin and Ethereum last weekend when these crypto assets were It has fallen by as much as 15%.
"Fortunately, on Saturday, when the cryptocurrency plummeted, I was awake and I increased my investment portfolio a little bit," he said. "When there is a major adjustment in these assets, it is the time to increase holdings. But many times, when everything seems to be falling, it is very difficult to buy.
We are reminded almost every day that cryptocurrency trading is not for the faint-hearted. Ghabour warned that its volatility may be cruel. "You must have appropriate risk tolerance for cryptocurrencies, because 20% and 30% corrections are normal," he said.
Take Dogecoin as an example. It soared by 400% in just 7 days, causing a Reddit user to declare on the Robinhood investment app that he is a "Dogecoin millionaire" and show off his account balance of $1,081,441.29.
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