The price of Dogecoin is down more than 17% in the past week. This drop seems to have everything to do with a poll on Twitter. In this poll, Elon Musk asks his followers if he should ignore his role as head of Twitter.
elon has to go
A majority of over 17 million voters say it would be a good thing if Elon Musk stepped down as CEO of Twitter. More than 57 percent of voters clicked “yes” and would be fine with Musk taking a backseat.
First, Dogecoin took off like a rocket after Musk took over Twitter in October. At that time, the Dogecoin price was trading at $0.07. In the period from October 27, the day of the takeover, to November 1, Dogecoin suddenly traded for just $0.14.
Since then, the coin has struggled and slowly declined. The results of the Twitter poll also seem to be of little use to the project.
Everything is in trouble
By the way, Dogecoin is not the only project currently in trouble. Almost all financial investments are currently in a difficult period. The year 2022 has become a year in which inflation and interest rate hikes by central banks determine the dance. This mainly led to a sharp fall in the prices of risky assets.
In this sense, 2023 can be expected to be a better year for investors. For now, however, most economists expect a recession, and that doesn’t bode well. After all, many people and companies have to sell assets during a recession to keep things going.
Profits plummet and we often see gold doing well in these times. Somehow this also gets really interesting because so many people refer to Bitcoin as digital gold. In that regard, 2023 will be a very interesting year for the cryptocurrency industry.
Bitcoin x Gold
The year 2023 could well be the year in which Bitcoin will have to prove itself as a safe haven in times of economic disaster. If a recession hits, investors are likely to run to gold in the first place. At least that’s how it always was.
Now there is also Bitcoin and there is a digital alternative. However, the question arises whether investors really see Bitcoin as a potential substitute for gold. That has been the story for a long time, but Bitcoin is only now heading into a possible recession for the first time.
If there is indeed an escape to absolute Bitcoin scarcity, it will also be interesting to see how the rest of the industry reacts. Usually, when Bitcoin is having fun too, everyone else cheers up.
The big question is, of course, whether this will continue during a recession. Chances are, investors usually jump into bitcoin and ignore the rest for a while. In this sense, the sector has some very interesting months ahead of it.
Source: Btc Direct
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Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
