The richest person in the world, and famous Internet troll, Elon Musk, has taken a liking to start controversies in the crypto space. His company made a $1.5 billion BTC purchase, but he keeps talking about Dogecoin. After one of his recent tweets had criticized the centralization of tokens, DOGE took a dip of 20%.
Attack On Dogecoin Whales
The decrease of the price overlapped with the marketwide slump for crypto – BTC fell by 5% and ETH by 8%. But DOGE was hit harder as, at one point, it lost 25% from the daily open.
Musk wrote on Twitter: “If major Dogecoin holders sell most of their coins, it will get my full support. Too much concentration is the only real issue IMO [in my opinion].”
This was a bit odd for some as Musk usually makes highly positive or lighthearted tweets about Dogecoin. DOGE had to deal with massive pumps since the start of the year after Musk promoted the cryptocurrency on Twitter. This made Reddit-based speculators move their stocks to DOGE.
The criticism came over the fact that a single address holds more than 25% of the entire DOGE supply. The following 19 largest addresses also hold over 25% of the entire percentage of coins. This basically means that DOGE is not as decentralized as holders and speculators would have believed.