ForexMinute.com – After facing a series of slumps, Dogecoin market cap took a massive swift recently when it surged over 27% within a few hours. For obvious reasons, the coin’s price also reached its two-week high, suggesting a bullish trend in the upcoming hours as well. A charming day for cryptocurrency market indeed!
While most of the people think of it as yet another trend, we believe this surge is clearly originated from optimistic market behavior. Dogecoin have been subjected to a lot of negativity in previous months, thanks to its falling hash rate and mining rewards. The antibiotic of this situation came in the form of merge mining, a step taken by the Dogecoin key developers for ending the speculation of the coin’s death.
The team further announced recently the time and date when the Dogecoin blockchain will switch to AuxPoW, followed right after with another announcement of the release of the coin’s new client. Some investors have openly claimed on Reddit that they are buying high amount of Dogecoins ahead of the scheduled switch upon reaching the block 371,337.
Another event that is putting logic to Dogecoin’s sudden rise is the recent announcement made by GoCoin. The Bitcoin and altcoin payment processing company has recently revealed that it is expanding its services to more than 1,000 businesses around the globe. With Dogecoin being an integral part of the company, sharing dais with Bitcoin and Litecoin, its probability of receiving wide merchant adaption has amplified.
And last but not least, it is the miners who are believed to be playing an integral part in managing the Dogecoin supply against the demand. With the AuxPoW less than a month away, it is speculated that miners might want to hold their coins for a while amidst increasing demand. On technical grounds though, the existing Dogecoin holders might want to take this situation for granted and start a sell-off. But we are hoping that won’t happen until the three-days prior to the AuxPoW switch.
To contact the reporter of the story: Yashu Gola at firstname.lastname@example.org
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