Dogecoin Drops 5% as Wider Crypto Market Holds Steady

So far so steady for the crypto markets this April. Standing out from the crowd, however, is Dogecoin (DOGE).

The popular meme coin fell to a daily low of $0.76 on Monday morning before recovering to $0.079 by press time.

This represents a 5% drop for Dogecoin, making it the largest among the major cryptocurrencies, according to data provided by CoinGecko.

DOGE is still up 5.7% over the week after the coin enjoyed a moderate boost over the weekend after Twitter chief and long-time Dogecoin fan Elon Musk motioned a U.S. judge on Friday to dismiss a $258 billion lawsuit accusing him of running a racketeering scheme to back the cryptocurrency.

The lawsuit, which was filed in June 2022 and also targets the billionaire’s electric car company Tesla and the Dogecoin Foundation, alleges that the defendants “falsely and deceptively” claimed that the meme coin was “a legitimate investment when it has no value at all.”

The motion to dismiss the lawsuit, however, says that plaintiffs didn’t explain statements such as “Dogecoin Rulz” or “No highs, no lows, only Doge” are false or misleading, “as they are so vague and subjective as to constitute quintessential puffery.”

“Plaintiffs also never explain what risk Mr. Musk and Tesla purportedly concealed from the market. According to Plaintiffs, Dogecoin is highly speculative and risky because it is not backed by any physical asset or government, but rather is worth ‘whatever someone else is willing to pay for it at any point in time.’ But those basic facts were well-known to any reasonable purchaser, including because Dogecoin’s co-founder, Billy Markus, among others, had repeatedly said so,” reads the document.

In their lawsuit, the plaintiffs also alleged that Dogecoin is a security, however, Musk’s lawyer argues that “securities fraud claims fail because Plaintiffs fail to plead any material misrepresentation or omission.”

Dogecoin leads top-10 losses

Elsewhere in the market, another popular meme coin Shiba Inu (SHIB) is down 3.5% over the day, as is Solana (SOL) with a 3.6% drop in the past 24 hours.

Bitcoin (BTC) fell to a daily low of $27,661 in the early hours on Monday only to rebound to $28,350 at the time of writing, meaning that the price of leading cryptocurrency is practically unchanged (down just 0.4%) over the past day.

Ethereum (ETH) is down 0.8% over the span, currently trading at $1,811.

The global cryptocurrency market cap is now standing at $1.22 trillion, down 0.4% over the past day.