Bitcoin, Dogecoin, and other popular cryptocurrencies may have lost a considerable part of their value in the market volatility that's been going on for a few months, not many early-bird investors seem worried. In fact, some are even advocating to "buy the dip," believing the market has bottomed out and it can only bounce back from here. Among them is a 33-year-old resident from Los Angeles, Glauber Contessoto, who claimed in April that he became a Dogecoin millionaire in “just 69 days.” Contessoto recently said he has bought more Dogecoins worth $5,300 (roughly Rs 3.94 lakhs).
“Practice what you preach,” he said.
Dogecoin hit 16 cents (roughly Rs 11.90) Tuesday morning before recovering to 17 cents (roughly Rs. 12.66), when Contessoto bought the dip. At the time of writing, Dogecoin price in India stood at Rs. 14.27.
Contessoto had invested over $250,000 (roughly Rs 1.85 crores) in Dogecoin on February 5, when it was priced at about 4.5 cents (roughly Rs. 3). About two months later, on April 15, he said he became a millionaire.
A month later, when the value of his cryptocurrency holdings surpassed $2 million (roughly Rs. 14.93 crores), he put out a post on Reddit, asking the Dogecoin community to “unite” and not sell their digital assets. Instead, he asked them to buy more.
“I can't pass up a good bargain,” Contessoto told CNBC of his latest investment in Dogecoin. “Doge is my savings account,” he added.
Now, that the Dogecoin price has decreased significantly, he is no longer a millionaire. The CNBC report said Contessoto's Dogecoin holdings were valued at $700,217.09 (roughly Rs. 5.2 crores) as on July 20 afternoon.
However, some financial experts warn about the extreme volatility in cryptocurrency trading. Contessoto himself also told his followers about the risky and speculative nature of the trade and asked them to not invest more than they could afford to lose.
Dogecoin has seen a record-breaking rise in its value in the first four months of this year. It had touched about $0.72 (roughly Rs. 52.74) in May. Since then, it has stabilised at around 17-18 cents.
Interested in cryptocurrency? We discuss all things crypto with WazirX CEO Nischal Shetty and WeekendInvesting founder Alok Jain on Orbital, the Gadgets 360 podcast. Orbital is available on Apple Podcasts, Google Podcasts, Spotify, Amazon Music and wherever you get your podcasts.