Dogecoin (Dogcoin) has been all the rage this year. The digital asset has come a long way from being labeled as a meme coin to becoming one of the hottest sensations in the cryptocurrency space. This year alone, DOGE’s value has soared 6,000% and is expected to continue its sensationalism.
The asset rose 47 percent last week and briefly became the fourth most valuable coin on the cryptocurrency ladder, surpassing coins such as Ripple (XRP), Litecoin, Bitcoin Cash, Tether and Cardano, all of which were household names in the cryptocurrency market at a time when dog coin was considered nothing more than a joke.
Earlier Thursday, dogcoin was trading above $0.60, bringing its market cap to $78 billion, nearly $4 billion higher than Elon Musk’s private rocket company SpaceX. Dogcoin’s stellar performance has set off a frenzy in the crypto space as interest in the digital asset is at an all-time high.
Now, dogcoin is competing with some of the best assets in the cryptocurrency market. Many believe that this firestorm will propel the coin to even greater heights. At press time, dogcoin was trading at $0.40, down 11.4 percent in the past 24 hours. However, many experts believe the digital token has the ability to hit the $5 mark or even higher by the end of the year.
Betting companies are reportedly cutting the odds of the dogcoin reaching $5 by the end of the year. Many investors believe the coin’s value will explode further if Elon Musk uses it as a payment method for Tesla cars. Other experts believe that the underlying technology and overall utility of dogcoin is “second rate” compared to Bitcoin and Ether.
Anthony Portno, founder of Traders of Crypto, told reporters this week, “On the surface, the reason for dogcoin’s continued growth is a complete mystery: it’s a meme coin with bad token economy rules and little development.” But the growth of dogcoin is not the result of aggressive development from its camp of supporters, but relies on the “endorsement” of billionaire and business mogul Elon Musk at its forefront.
Social media has also been a major contributor to Dogecoin’s growth, as online forums for retail investors have supported the coin by generating enough “buzz” in the cryptocurrency space. r/Dogecoin sub-Reddit – a Internet space popular with Dogecoin users and investors – vowed at the beginning of the month to push the price up to $1, and then advised Dogecoin investors not to sell, even if the price rose above $1.
While there is a risk of a massive sell-off once the coin hits the $1 mark, its upward trajectory is expected to continue as its current “buzz-feeding” market strategy isn’t going to stop anytime soon.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/dogcoin-to-break-5-by-the-end-of-2021/
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