KANALCOIN NEWS – The appointment of billionaire investor Ryan Cohen as the new Chief Executive Officer (CEO) of GameStop, a brick-and-mortar video game retailer in the United States, has had an impact on Dogecoin. This can be seen from GameStop shares and Dogecoin prices have shown signs of correlation.
Previously, Cohen had been Executive Chairman of GameStop since January 2022 and remains the largest shareholder. An experienced Investor takes over. Regarding what analysts say is an attempt by the board to turn around the fortunes of the public company.
Cohen was present as CEO
Cohen takes on quite an important role. Namely as President, Chief Executive, and Chairman of GameStop. The goal is a move to overhaul and perhaps revive the company’s leadership structure. Even though his position is quite prestigious, Cohen does not take any salary at all.
Just after Cohen’s position was announced, the price of GameStop jumped 10%. This is a positive response and a vote of confidence in the experienced investor’s capabilities and even a genuine commitment to spark a turnaround following the challenges of 2022. As well as changes in the landscape that have led to a decline in sales in brick-and-mortar stores.
Since September 2020, Cohen started accumulating aggressively until December 2020. This is because this billionaire is one of GameStop’s shareholders and wants positive things related to GameStop.
The billionaire publicly backed stocks that hedge funds ignored, as they bet on the video game retailer going bankrupt. However, in January 2021, due to “exigent circumstances,” GameStop’s share price jumped 1,500% as retailers jumped on the bandwagon, causing the share price to reach around $81.
Emulate the GameStop Rally in 2021
Similar characteristics between the GameStop and Dogecoin rallies in the first half of 2021. Happened by way of GameStop’s sharp expansion in January due to FOMO and retailers relying on meme stocks. Until finally Dogecoin soared to $0.78 due to support from Elon Musk, the richest entrepreneur in the world, pumping the coin to record levels.
CEO X has publicly expressed his support for DOGE, even appearing on Sunday Night Live (SNL) as “Doge Master.”
Due to being driven by online communities and social media as well as the presence of Elon Musk, driving the price of DOGE, Dogecoin’s status as the first meme coin and alignment with the broader upward trend of meme stocks in early 2021.
DOGE supporters remain optimistic, expecting the meme coin to recover in the coming sessions. Even though currently the price of DOGE has fallen by more than 80%. as the decline continues, reversing huge project valuations.
The billionaire is suing Elon Musk in New York for allegedly promoting Dogecoin as a get-rich-quick scheme. The lawsuit claims that Musk, Tesla, and SpaceX engaged in a racketeering conspiracy to support DOGE. This suspicion is visible because Elon Musk continues to frequently tweet about DOGE.
Image Credits : Fox Business