Victor Ugochukwu · Dec 14, 2020 . 5min read
Tiktok Dogecoin Challenge: The New Crypto Pump Machine
Dogecoin pumped to $0.005420, the highest gains in one year just within the last seven days since the TikTok #DogecoinChallenge started.
By Victor Ugochukwu · Jul 11, 2020 . 6min read
Pump and dump schemes are as old as you can remember. Crypto, however, is notoriously plagued with these schemes aiming to cajole inexperienced traders/investors to buy into an already inflated coin at a price.
One of the best advice you would get as a newbie within the cryptocurrency space is never to trust troll chats on exchanges. Most crypto exchanges come with a troll chat where particular coin enthusiasts and shills promote their preferred cryptocurrency. The biggest mistake to do as an investor or trader would be to follow the price calls by these trolls.
Chris Dunn, a renowned YouTuber and crypto trader, says the smart move would be to do the exact opposite of what these troll advice.
But that is not what present social media sentiments of today shows. DogeCoin surged by over 140% this week over a TikTok viral challenge.
Not particularly sure how the challenge started, but some claim TikTok user jamezg97 initiated the #DogecoinChallenge before it went viral. The hashtag garnered over 3 million views across the internet within 48 hours. Short videos were encouraging the 800 million TikTok users to invest “just $25” to buy “10,000 shares” of dogecoin as they called it, aiming to pump the price from $0.0025 to $1. Let’s imagine for a second this happens, any of such investor with just $25 in DOGE would be getting $25,000.
Joke Currency with Elon Musk as Joke CEO
Dogecoin, created in 2013 as a joke currency has no particular use case. Crypto users occasionally use it to move funds around capitalizing on low crypto fees and may also use its price charts as a way to know if an altcoin rally is imminent.
Apparently the joke TikTok #DogecoinChallenge was taken seriously by the crypto community. The 140% Dogecoin price gains sparked off a DOGE/USDT Binance Perpetual Futures. Who wouldn’t take a coin seriously that has Elon Musk as its “CEO”? Elon thinks Dogecoin is cool
Fundamentals Since the Beginning of the DogeCoin TikTok Challenge
Dogecoin pumped to $0.005420, the highest gains in one year just within the last seven days since the TikTok #DogecoinChallenge started. It has since retraced by over 67% as at the time of this publication.
A twitter critic posted one of the viral TikTok videos lambasting them as “nocoiners” who know nothing about crypto suggesting such actions were what necessitated the mad 2017 pump.
Even Dogecoin’s warned crypto community to be wary of such activities.
Alas! It was already too late as a twitter user trolled he has already invested his father’s 401k into Dogecoin.