Dogecoin (DOGE) saw a significant increase in its value recently, rising by over 10% in the past 24 hours. This surge is largely attributed to the support from Elon Musk, who has been promoting the idea of a “Department of Government Efficiency” (D.O.G.E.), which has sparked renewed interest in the meme-based cryptocurrency.
On the other hand, Bitcoin (BTC) experienced a slight decrease of nearly 3%, while other major tokens also saw losses ranging from 1% to 5%. The overall market sentiment was impacted by the narrowing lead of Donald Trump in the election polls, as he has been seen as more favorable towards cryptocurrencies.
The recent movement in the crypto market has also been influenced by the outflows from U.S.-listed spot bitcoin ETFs, with major funds like Fidelity’s FBTC and Ark Invest’s ARKB seeing significant withdrawals. However, BlackRock’s IBIT was an exception, as it recorded inflows of $38 million.
It is worth noting that the market is anticipating a surge in the coming weeks, regardless of the outcome of the U.S. elections. Dogecoin’s recent performance, along with the overall market trends, suggest that there may be a positive momentum building up in the crypto space.
Additionally, the transfer of $2.2 billion worth of tokens from the defunct exchange Mt.Gox to new wallets has caused some selling pressure on Bitcoin, as traders are cautious about the potential impact of these moves on the market. This situation is expected to stabilize once the assets are further distributed to exchanges.
Overall, the recent developments in the cryptocurrency market indicate a mix of optimism and caution among traders and investors. The outcome of the U.S. elections, along with other factors such as institutional interest and market dynamics, will likely continue to shape the future trajectory of digital assets in the coming weeks.
