The price of Dogecoin has risen by more than 36% over the last three weeks. As of March 13, DOGE was trading at $0.1116 compared to today’s price of $0.1525.
The uptrend continued this week. The meme coin started the week with a 2% rise in the early hours of Monday morning before falling slightly for the rest of the day. Today, Tuesday, its price had registered a rise of 5.67% at the time of writing.
In this article, we shall focus on why the Dogecoin price is rising.
Why is the price of Dogecoin (DOGE) increasing?
Dogecoin has been in the limelight for a variety of reasons. However, one of them stands out and that is his association with SpaceX and Tesla founder Elon Musk. Musk has been a big champion of the meme coin and one of his companies, Tesla, now accepts $DOGE as payment for its merchandise.
Yesterday, Monday, April 4, 2022, Elon Musk purchased 73, 486,938 Twitter shares worth about $3 billion making him the largest Twitter shareholder.
Prior to the move, Musk had criticized Twitter for transparency and free speech issues.
The tweet criticizing Twitter had come after Elon performed a survey asking people whether they believed Twitter rigorously adheres to the principle of “Free speech is essential to a functioning democracy.”
$DOGE tips on Twitter
After Elon Musk bought Twitter shares and became the company’s largest shareholder, the Twitter community went wild with most people suggesting that people should expect Musk to present $DOGE tips on Twitter .
This notion by people that since Elon Musk owns Dogecoin and has now purchased Twitter, he may try and integrate the two has created a lot of attention for Dogecoin leading to an increased trading volume and a hike in its price.
Twitter ventures into dApps
The takeover of Elon comes at a time when the platform is venturing into decentralization. Last year in November, Twitter announced that it had launched a dedicated crypto team that will direct all of its energy to Twitter venturing into the dApps space.
Tess Rinearson, Twitter Crypto leader, was given the responsibility of setting the strategy for the future of crypto on Twitter as the team works on exploring how to incorporate decentralized technology and its infrastructure.
All of these developments come amid push from Crypto enthusiasts for decentralized social media platforms.
A thought experiment penned by Orange Paper showed that if Bitcoin’s invention preceded that of Twitter, then Twitter’s evolution would have followed the path of crypto decentralization a long time ago.
