independent– The cryptocurrency market has topped $1 trillion following a huge price rally led by bitcoin and its meme-inspired rival dogecoin.
The surge brought the total market capitalisation of all cryptocurrencies to $1.07 trillion on Friday, which is greater than the combined value of payment giants PayPal, Mastercard and Visa.
Dogecoin, which was originally created in 2013 as a light-hearted take on the emerging crypto movement, saw the biggest gains of more than 500 per cent over the last 24 hours to take its value above $0.05.
The cryptocurrency has long enjoyed a cult-like following among online forums and retail investors appeared to flock towards it in response to trading limitations being placed on certain stocks that were pumped by the equally meme-loving Reddit forum WallStreetBets.
“While the stock market is still going wild, fuelled by an epic battle between Redditors and hedge funds, a similar hype is now being triggered with dogecoin,” Eric Demuth, CEO and founder of cryptocurrency broker Bitpanda, told The Independent.
“The most interesting aspect is how social communities on the internet now have an immense influence on the volatility and direction certain assets will go into. What we are seeing is a historical power shift from the elite to retail investors – and this is just the beginning.”
Bitcoin saw considerable gains on Friday morning after Elon Musk appeared to pledge his support for the cryptocurrency following the fall-out from Robinhood’s decision to block users from purchasing certain stock.