Content and data provided by various third parties and Fidelity - Terms of Use
Print.Print
Small font size A Larger text size A Largest text size A

What's Going On With Dogecoin (DOGE)?

BY Benzinga | ECONOMIC | 08/02/24 03:00 PM EDT

Dogecoin (CRYPTO: DOGE) is trading lower by 5.6% to the $0.11 level during Friday’s session. Shares of the popular altcoin are trading lower amid overall global market weakness driven by weaker-than-expected U.S. jobs data.

The cooler-than-expected jobs report, which revealed a slowdown in job creation and a rise in the unemployment rate, suggested underlying weaknesses in the U.S. economy. This led to increased speculation that the Federal Reserve might need to implement a larger rate cut than previously anticipated, as reflected in the spike in the probability of a 50-basis-point rate cut for September.

Read Also: FBI Issues Alert On Crypto Exchange Impersonation Scams

In an environment of economic uncertainty and potential policy shifts, risk assets, including cryptocurrencies like Dogecoin, often face heightened volatility. Investors tend to move away from speculative investments and seek safer havens when there’s increased uncertainty about economic stability and future interest rates.

This flight from riskier assets can cause sharp declines in assets like Dogecoin, as its value is heavily influenced by market sentiment and speculative trading.

Read Also: Kamala Harris Must Address Crypto To Compete With Trump’s Pro-Bitcoin Agenda, Think Tank Warns

More Fixed Income News

All Fixed Income News

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

© 1998 – 2014 FMR LLC.

All rights reserved.
fir_news_article