After the Current Correction: Will Dogecoin Reach $1?
The cryptocurrency market has had a turbulent week, with Dogecoin suffering a massive 11% loss in 24 hours, extending to more than 20% over the course of the week.
This decline comes amidst widespread sell-offs that included Bitcoin, Ethereum, and a number of other major cryptocurrencies.
Reasons for the Decline:
This recent decline can be linked to profit-taking following a bullish wave, in addition to the market’s reaction to the hawkish Federal Reserve policy.
At the recent Federal Open Market Committee (FOMC) meeting, Jerome Powell, the chairman of the US central bank, indicated that the expected interest rate cuts for 2025 may be less aggressive than hoped, which has had a significant impact on the risky asset class, including cryptocurrencies.
Bitcoin, in turn, lost momentum after reaching a record high above $108,000, falling to $92,000.
Ethereum and Solana also recorded declines of 12% in the last 7 days.
The situation worsened for Dogecoin with the discovery of a security vulnerability that someone exploited to disable 69% of the network nodes