Dogecoin is a cryptocurrency invented by two software engineers Billy Markus and Jackson Palmer, just for fun.
The cryptocurrency even features the Shiba Inu dog from the popular "Doge" meme as its logo.
At that time, the two thought that they can create a digital coin that is free from traditional banking fees to create a payment system that is instant, fun, and free from traditional banking fees.
It was introduced on December 6, 2013, before quickly developing its own online community.
Fast forward to 2021, the digital coin that was originally founded as a joke, soared more than 800% after a r/WallStreetBets subreddit talked about making it the cryptocurrency equivalent of GameStop, which earlier had its stock skyrocketed..
The enthusiasms also came from a Reddit group r/SatoshiStreetBets, which also wants to increase the prices of cryptocurrencies.
Read: Battle Between Redditors And Short Sellers Surged GameStop's Shares To Record-Highs
From the enthusiasms, Dogecoin quickly added about $7.17 billion to its market capitalization or total value, in just 24 hours, according to data from CoinmarketCap.
And just like any market and price, a sudden increase tend to attract a sudden decrease.
The same goes to Dogecoin.
After it skyrocketed to heights it never dreamed of, some big dips in the prices started to happen in the following hours.
Not happy, some Reddit users started encouraging people not to sell and to "keep pushing."
While it appears that Reddit users on r/SatoshiStreetBets are trying to do what users on r/WallStreetBets are doing, the situation is actually different.
On r/WallStreetBets, people were pushing the narrative of buying GameStop shares in order to create pain for hedge funds that are shorting or betting against the stock. By buying GameStop shares, this attracted short sellers, which then surged GameStop's shares to record-highs.
On r/SatoshiStreetBets, things are a little different.
While the goal is also to make prices higher, their purpose is to earn profit.
For all of its life, its price was almost always below $0.01 per coin. But with the hype, it went up to over $0.07 per coin, with many Reddit users trying to push that to at least $1.
ur welcome pic.twitter.com/e2KF57KLxb
— Elon Musk (@elonmusk) February 4, 2021
And again, and just like before, Elon Musk's tweeted to help.
The Tesla founder who is at this time, also known as a person who makes prices of stocks rather volatile with his tweets, again tweeted about Dogecoin.
And again, price goes up again.
Later, Musk as the richest man on Earth shared a series of tweets.
The first tweet, he said only one word: "Doge".
That tweet was followed by other tweets to increase the hype of the cryptocurrency. This bumped the price a bit to around 5 cents, or up from about 3 cents before his tweets.
"Dogecoin is the people's crypto" he said in another tweet.
"No highs, no lows, only Doge," he billionaire tweeted later.
Previously, Bitcoin upped the price for Dogecoin and Bitcoin after he tweeted his interest in the cryptocurrencies. He later added an instant $5,000 to Bitcoin's price after Musk added the hashtag #bitcoin to his Twitter bio.