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Dogecoin, launched as a satirical critique of 2013's
cryptocurrency frenzy, has climbed 41% in the last 24 hours to a
record $0.68, according to CoinMarketCap.
This year alone it has soared over 14,000%, from $0.00468 on
Dec. 31, taking it past more widely used cryptocurrencies such
as the Tether stablecoin and XRP to become the fourth-largest by
market capitalisation.
Dogecoin - whose logo features a Shiba Inu dog at the centre of
the meme - remains little used in commerce or payments. Like
other digital coins, it is highly volatile and its price is
heavily influenced by social media users.
On Tuesday, the New York crypto exchange Gemini said it would
start letting users trade and custody the token.
Some cryptocurrency market players said its volatility was its
main draw, with a mixture of retail investors and market makers
fuelling its trading volumes.
"The ugly truth is that a lot of crypto valuations are divorced
from reality anyway," said Joseph Edwards, head of research at
crypto brokerage Enigma Securities.
"Right now, (Dogecoin) is being seen as it's always been seen -
an asset with surprising staying power that provides
opportunities to take advantage of volatility every year or so."
Dogecoins are now cumulatively worth $88 billion, compared to
bitcoin's $1 trillion and ethereum's $391 billion.
(Reporting by Tom Wilson; Editing by Alison Williams)
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