Dogecoin Bearish Positions Hit Record High | Blockchain24

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Dogecoin bulls should be careful as Dogecoin margin short positions on Bitfinex, one of the largest crypto exchanges, reached 15.9 million DOGE, roughly equivalent to $ 3.4 million.

Some community members expect this to cause short-term squeeze.

A squeeze in short positions is usually triggered by a cascade of liquidations that cause traders to panic and close their positions, thereby significantly lowering the price of a particular asset.

Dogecoin (DOGE) is down more than 70% from its all-time high.

All money is worth nothing

Tesla CEO Elon Musk replied with two fiery emojis to a tweet posted by the Dogecoin co-founder Billy Markus that the US dollar has no value.

This came after a Twitter user suggested that the largest meme cryptocurrency experienced a significant surge in bearish interest on the Bitfinex exchange due to its unlimited supply.

The user received a response from the “chairman” of Wall Street Bets, who indicated that the US dollar would also be useless as his offer is also endless.

While Dogecoin inflation is considered by some to be the coin’s biggest asset, some industry leaders also see it as a major flaw. Specifically the CEO of Ripple (XRP) Brad Garlinghouse recently announced that he would not touch Dogecoin due to its inflationary dynamics.

Musk, on the other hand, believes that a joke cryptocurrency can succeed as a legal tender if it is big enough. Earlier this month, Dogecoin fees dropped significantly for all users following an important software update.

Musk has also repeatedly criticized fiat money. Earlier this month, he noted that “normal money” is just a collection of ancient mainframes running on COBOL, an obsolete programming language still widely used by the vast majority of banks in the United States.

Last December, the billionaire tweeted that Bitcoin is “almost like paper money.” However, in February he said that “only a fool” would not seek alternatives to the dollar due to extremely low interest rates.

In May, Musk stated bluntly that he supports cryptocurrency instead of paper money.

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