Crypto Kaleo expressed his belief in Dogecoin's (CRYPTO: DOGE) resurgence, attributing it to the retail sector's renewed risk appetite.
What Happened: In a Friday post on X, Kaleo highlighted the shift in the retail sector's risk tolerance across the meme coin board, as evidenced by the performance of GameStop and AMC. He noted the explosion of the meme coin market over the past year, with Dogecoin leading the pack as the "king of the memes." It was the initial meme that made it possible to believe that a dog and a community was enough to start a movement.
GME / AMC showed us that retail has shifted back to being risk on.
Throughout the past year in crypto, we've witnessed how risk on native participants have been as the memecoin market has exploded across the board.$DOGE always has been and always will be the king of the memes....— K A L E O (@CryptoKaleo) May 17, 2024
The trader emphasized Dogecoin's enduring relevance, stating, "Dogecoin isn't dead. As soon as it starts to catch a bit of a bid, it will move vertical once again." He also pointed out the retail sector's desire for the same thrill they experienced with GME and AMC, predicting a similar surge for Dogecoin.
Kaleo's prediction of a bounce back suggests that this trend could continue, driven by retail investors' familiarity with Dogecoin and their desire for high-risk, high-reward investments.
Price Action: At the time of writing, DOGE is trading at $0.1529, up 1.2% over the past 24 hours.
Why It Matters: IntoTheBlock data noted an increase of 6.8% in daily active addresses to 55,540, while exchanges net flows dropped 1,731.2%. However, total exchange inflows spiked from $32.9 million to $50.6 million.
Transactions greater than $100,000 increased from 501 to 523 transactions as of May 16.
In a reaction to Roaring Kitty posting videos, Dogecoin co-founder Billy Markus, known as Shibetoshi Nakamoto, tweeted that the Roaring Kitty account handler should understand the concept of "less is more."
What's Next: The influence of meme coins Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga's upcoming Future of Digital Assets event on Nov. 19.