Dogecoin rises 9% due to fake news of dog death ─ fall after it is revealed to be fake | CoinDesk JAPAN

• Dogecoin soared 9% following social media rumors about the death of the dog that became Dogecoin’s motif, which was later withdrawn.
• The incident has irritated crypto watchers as fake news causes liquidations to skyrocket.

The popular meme coin Dogecoin (DOGE) experienced significant price fluctuations on the 9th. This is because rumors on social media about the death of the dog that served as the motif turned out to be false. Crypto watchers are frustrated by this.

The price of Dogecoin increased after anonymous X (formerly Twitter) user TraderAguila posted a screenshot of a Japanese conversation on Telegram in which he claimed that the motif dog “Kabosu” had passed away. The stock soared 1% to 8.3 cents.

Shortly after, the poster deleted X’s post and made his account private after discovering that the screenshot was fake. The account was also deleted.

Dogecoin lost most of its gains and fell back to about 8 cents, but still higher than the 7.7 cents it was trading at before the fake news.

The incident irked crypto watchers as it added to the asset class’s reputation for alleged market manipulation and speculative nature.

Tree of Alpha, a well-followed crypto watcher, said, “Looking at the charts people are drawing speculating about the death of animals, we’re either all going to hell or we’re already there.” It makes me think so,” he commented.

The liquidation of leveraged trading positions due to rapid price changes during periods of high volatility also frustrated some Dogecoin traders. According to CoinGlass data, $674,000 (approximately 97.73 million yen, equivalent to 145 yen to the dollar) worth of leveraged derivatives trades were cleared in one hour, compared to all other cryptocurrencies, including Bitcoin. The amount exceeded the liquidation amount of the assets.

Dogecoin started out as a meme coin in 2013, but has amassed a huge following around the world, including Elon Musk, and now has a market capitalization of over $11 billion (approximately 1.595 trillion yen).

The incident comes at a time when the crypto market is receiving a lot of attention and U.S. regulatory approval for the long-awaited Bitcoin exchange-traded fund (ETF) is imminent.

In particular, the price of Bitcoin (BTC) soared in October when CoinTelegraph, a news media specializing in crypto assets, mistakenly tweeted that an application by BlackRock, the world’s largest asset management company, had been approved by regulators. There was a temporary spike.

｜Translation and editing: Rinan Hayashi
｜Image: Christal Yuen/Unsplash
｜Original text: Dogecoin’s 9% Swing Amid Fake Rumor of Mascot’s Death Riles Up Crypto Enthusiasts