May 05, 2021
1 mins read
Although the hype is in and you might feel left behind with the token reaching all time highs, it is important to remember that as fast as something goes up, the faster it can go down.
I learned this in my stock investing days where at one point one stock went up 10,000% at one point, only for it to drop at less than 10 cents. This phenomenon is called "Pump and Dump".
Right now, I am enjoying the rise of Dogecoin, as it is one of the best investments I had ever made. But, I am always thinking at the top of my mind that it could just be a pump.
There really is no big technology behind Dogecoin, but it is rising. The token that started as a joke has now become a cultural icon, with Elon Musk, Mark Cuban, two billionaires who like dogecoin. In fact, Mark Cuban's Dallas Mavericks basketball team has started accepting dogecoin as payment.
Would I buy still?
I would, simply because of Elon Musk and Mark Cuban backings.
I know, I know. It sounds illogical, but sometimes the most illogical things are the ones that take on the profits. And, Dogecoin is proof of an old "Three's Company" saying from Mr. Furley:
"Just because an idea is stupid, it doesn't mean it won't work."
See you soon.
Be advised that this post is only my opinions and is for entertainment purposes only. Do your own research. I am not a financial advisor.