Thu. Nov 21st, 2024
Dogecoin DOGE cryptocurrency means of payment in the financial sector

Most seasoned traders prefer diversifying their portfolios with multiple altcoins in addition to Bitcoin, Ether, and other top cryptos. It is uncommon and unwise to focus on the leaders of the market only. Hence, today, we would like to introduce a promising altcoin that will easily fit into even a beginner’s budget and is definitely worth your attention — Dogecoin.

To start with, let us give you a few general facts about this asset. It was introduced to the public about a decade ago — in 2013. At the very beginning, most users perceived it as a joke as it is founded on an Internet meme. To be objective, its initial rise was provoked by hype mainly. Nevertheless, in a short time, the growing demand for it attracted attention on the part of “serious” investors as well. In sum, here are the major factors, which contribute to its popularity:

·         it is trendy;

·         due to a low price, anyone can afford such a purchase;

·         it is supported by most exchanges;

·         it has its own wallet;

·         its supply is unlimited;

·         there is a large audience of loyal users, including celebrities;

·         there are good chances that its price will multiply (although it is pretty volatile identically to most other cryptos).

Yet, the key question is: “Can Dogecoin reach $100?”. First, during recent months, its value has been varying around $0.10–0.20. As for its highest historical price, it reached $0.73. Speaking about its future, most experts agree that its value will grow within the nearest decade. It looks quite possible that it will reach $1, which means a rise of about 90%.

Meanwhile, it is obvious that it cannot skyrocket to $100 by any means. The point is that it is impossible to involve such immense volumes of investments. According to experts’ calculations, for its price to increase by $1, an additional investment of $180 billion must be involved. And, if you multiply this sum by 100, you will get $18 trillion. Yet, again, a rise to $1 is quite real although that also requires a dramatic increase in demand.

Finally, is it worth investing in it? You must keep in mind that the value and position of this coin depend on trends and fuss critically, hence, there is a substantial risk of its deep drop. Thus, most traders treat it like some kind of a bet rather than a conventional investment. It is up to you to decide whether you are ready to bear such a risk.

By Manali