Why Dogecoin Flopped This Week
The world's largest meme cryptocurrency, Dogecoin (CRYPTO: DOGE), has seen more volatility than perhaps is typical for the Shiba-Inu-inspired token. Over the past week, Dogecoin has declined 11.1% as of 9:30 a.m. ET Sunday.
Dogecoin has one of the most robust platforms and followings among all meme coins, and it was explicitly created to build community. In doing so, this token's overall performance has been driven, at times, more by celebrity posts and those from notable CEOs than by anything truly resembling fundamentals.
With that in mind, volatility has become part and parcel of what Dogecoin is all about. Seeing prior rallies in the pandemic era which drove Dogecoin's valuation to astronomical highs (still at around $21 billion at the time of writing), this is a token that's often viewed as one of the most important sentiment gauges in this sector, at least as representative of the most speculative areas of what many would consider to be an already-speculative crypto sector.
Source Fool.com
