Like any other crypto, Dogecoin has had its fair share of highs and lows. DOGE started off as a meme coin and later gained a following. The digital currency community became interested in it because of its casual presentation. In 2017, Dogecoin participated in a cryptocurrency bubble that saw its highest with other currencies.
Consequently, its value and other currencies took a tumble in 2018. However, it was during this period DOGE surpassed the $1billion market capitalization in the crypto bull run for the first time. In 2021, the Dogecoin market cap is among the top ten cryptos, with a market capitalization of 31.9 billion.
Its users trade in digital currency exchanges or store it in an exchange or Dogecoin wallets. Due to its volatile nature, the crypto community has found itself at crossroads of how far Dogecoin can go? Considering how DOGE works, assumptions are that the Dogecoin can reach $1 and $10 over time. However, any valuation beyond $100 is seen as unrealistic and impossible. Read on the hypothesis to find out how far Dogecoin can go.
Will Dogecoin Reach $1?
People started speculating on the possible reach of Dogecoin. The currency motivated most people when it climbed from 0.0002 to more than 0.70 in months. Thus, many individuals investing in digital currency became interested in Dogecoin and other altcoins for the first time.
Afterwards, the DOGE crashed, with more than 70% falling to 0.20. However, Dogecoin retained its place among the top 10 digital currencies by market cap. There will have to be a lot of assets flowing to DOGE for it to reach $1, which is realistic and possible.
Basing your evaluations on the above cases, do you think DOGE will reach $1? The odds of this coin getting to $1 or any other price will be determined by two factors which are Dogecoins mining dynamics and marketing cap. Being aware of the marketing cap of Doge regarding its new supply gives clarity on how high the price of Dogecoin can or can’t reach.
In the process of mining, the Dogecoin users receive a reward of ten thousand coins for resolving a new block every minute. The DOGE amounts to 5 billion new coins being minted every year. There is currently $130.8 billion DOGE in circulation. Thus, the coin’s market cap is about $24 billion at the time of this writing. There have to be 180 billion Dogecoins in circulation to reach $1.
Therefore, it is assumed that by the end of 2030, there is a likelihood of about 180 Dogecoins circulating. If the market cap has reached 180 billion coins, it is imperative to say that the DOGE will get to $1 in 2030. Today, for Dogecoin to reach $1 per coin, the market cap of the DOGE will have to be more than triple, meaning it will have to rise with more than $ 80 billion coins.
Can Dogecoin Reach $10?
It can be termed a unique event that saw Dogecoin rise from 0.0002 to 0.70 in a matter of months in the 2021 bull event. Although it is hard to rule out the exact conditions that transpire to a market event, there is a combo of unusual happenings that lead to the enormous boost of the DOGES to become one of most popular and sort after altcoin.
1. Several notable celebrities in continuous succession endorsed Dogecoin. Some celebrities have loyal fan bases to purchase anything they support, and this was probably the case for Dogecoin. The DOGE’s price skyrocketed every time these individuals tweeted about it.
2. During the Coronavirus period, most individuals started investing in digital currency for the first time. Crypto investment boomed since most people saw an opportunity and a side hustle while staying and working from home, thus, resulting in a significant boost for Dogecoin.
3. The middle of the Bitcoin bull market was when BTC and other digital currencies spiked new all-time highs. Dogecoin was not left behind, and its price hit a new high. Some individuals accused DOGE of a pump and dump scheme because of its falling and rising nature. The volatility came about concerning its spike in celebrity endorsement and crushing after that.
Thus, Dogecoin can reach $10 in the following decades, even if it is for a short while. Getting to $10 can be achievable by selecting notable celebrities to advocate for Dogecoin, which in return can have a practical effect on the price of the coin if done consistently.
Can Dogecoin Reach $100?
DOGE can’t reach $100 since there isn’t enough money in the world to call for the price valuation. However, there would have to be $18 trillion put in Dogecoin to reach $100 by 2030, which is unrealistic and entirely unreasonable. Here, you consider that every $1 that DOGE price was to rise would necessitate an additional $180 billion in 2030, which is slightly tricky to achieve.
Generally, the world GDP is estimated to be about $87 trillion. $18 trillion is even more than china’s GDP, which is $15 trillion, slightly below the United States GDP, which is about $21trillion. Thus, it is not rocket science to determine that Dogecoin reaching $100 is close to impossible. Also, if the coin reaches $100, it is difficult for any digital currency platform to handle such money.
It is crucial to consider that all total holding of Dogecoins mined in 2021 is centralized into the pockets of just a few cryptocurrency wallets. The top 20 wallets hold over 50% of all Dogecoins, while one wallet stores over 25% of all Dogecoins in existence.
Therefore, Dogecoin cannot go that high because another reason is that some people who control a few wallets with billions of coins in them are likely to benefit from some of them when the price of the currency rises sharply, capping any profits.
Can Dogecoin Reach $1000?
DOGE is a meme coin and has no technical developments; thus, there is no way Dogecoin could ever reach $1000 if it cannot even reach $100. It would take a lot of money such that there is no scenario it could happen. Therefore, Traders do not use DOGE for HODLing, but instead, they use it to transfer value or speculative gains.
Dogecoin has no supply cap, unlike Bitcoin, whose market cap eclipses since its supply is constantly declining for market cap and price to continue rising. Also, other cryptocurrencies such as Ethereum do not have a supply cap.
How far can Dogecoin go? The answer is determined by primary demand and supply dynamics. It is pretty impractical for one DOGE to reach $100 because of how the DOGE mining works. Also, Dogecoin has no technical developments; thus, it has a low level of network security and community developments. However, Dogecoin can reach $1. Reaching $10 is also possible though it could take a long time and a lot of investments. Additionally, some circumstances can determine the rising and falling of Dogecoin prices. For instance, the involvement of celebrities in endorsing Dogecoin can have a notable effect on its valuations. DOGE is fast and easy to trade compared to other digital currencies like Bitcoin and Ethereum.
