© Reuters
The cryptocurrency recently witnessed a sharp but brief increase in value, sparked by a false report circulating on Telegram that claimed the death of its famed mascot, Kabuso. The misinformation briefly pushed Dogecoin’s price up to 8.3 cents, marking a 9% surge, before it stabilized at around 8 cents.
The false news, disseminated by an unidentified user, led to over $674,000 in liquidations as traders reacted to the unverified claim. This event underscored the vulnerability of cryptocurrencies like Dogecoin to sudden market movements based on rumors and highlights the broader impact that unverified information can have on digital asset valuations.
Despite the temporary disturbance, Dogecoin continues to hold a substantial position in the cryptocurrency market, with a reported capitalization of $11 billion. The incident serves as a reminder of the inherent volatility within the crypto markets and the importance of critical evaluation of news sources within the investment community.
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This story originally appeared on Investing
