The top cryptocurrencies by market value, including bitcoin and ether, are plunging>Glauber Contessoto's dogecoin holdings on Robinhood as of July 20 at 2:50 p.m. EST.
However, financial experts are highly skeptical of dogecoin, as well as other cryptocurrencies. Their extreme volatility is one reason experts say that crypto is a risky, speculative investment.
Some warn investors to be especially cautious when investing in dogecoin in particular, since it lacks the scarcity and technological development that bitcoin has, for example. Investors could get burned, so they should invest only what they can afford to lose.
"You risk losing nearly all the money you put in," James Ledbetter, editor of fintech newsletter FIN and CNBC contributor, previously told CNBC Make It. "It has no intrinsic value and it could just as easily come crashing down in price as continue to go up."
Contessoto himself also tells his followers not to invest more than they could afford to lose.
Nonetheless, Contessoto's plan remains the same: "Once I hit $10 million, then I'll take out 10%."
"I had a game plan in mind going into this purchase, and I wouldn't feel right always telling people to 'buy and hold' and as soon as I hit $3 million, cash out and leaving everyone else hanging," he said. "Until I reach my goal, I'll continue to buy, hold and 'diamond hand' it."
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