Dogecoin started as a meme, a joke at cryptocurrency but looking at the market capitalization now at $54billion and dogecoin price passing $00.50 (50 Cent).
Guess the joke now may be on those who are yet to buy the cryptocurrency. It’s the fourth-largest cryptocurrency now just behind Binance coin, Ethereum and Bitcoin and it’s gradually racing to $1 (dollars).
But here is my question –
Bitcoin is valued because it’s regarded as the new gold, Ethereum is valuable because of smart contracts and also Decentralized finance but why is Dogecoin valuable?
What’s responsible for the rise what value is Dogecoin creating that gives it such a market cap and will it be possible for it to reach $1 ( dollars)?
Here is what I think, if you read up on the backstory of Dogecoin, you’d see that its value is in the community it has and also it is largely driven by influence. The Dogecoin community is strong and is responsible for pushing it till Elon Musk came into the picture and used his influence to drive it up.
The hype has been a major driver for it but looking at Economics, it cannot scale and It’s an “inflationary” coin.
But hey! The Coin initial idea was to create a meme crypto coin and this shows you how people Can come together to create a market a drive value via community and influence.
Will it get to 1 dollar? Hopefully and I pray it does oh!!! Oh boy!!! See cashout for people!
Will it go beyond 1 dollar? Now that’s a big deal!
If you are thinking of buying the coin, now is the best time to but do so with caution ( no use chop money or house rent o).
Dogecoin should be on your Crypto portfolio if you have one or thinking of creating a crypto portfolio.
Getting to 1 dollar will be a major test for the coin.
What do you think about Dogecoin?
“Anybody that has $100 that they are not using, can you dash me?”
However, another dimension to Dogecoin is the story of its rising should be tagged, one of the greatest loss in humans history.
Dogecoin which started as a Joke, today is the fifth most valuable cryptocurrency that’s great news but here is where the pain and loss is,
The Co-Creator of Dogecoin sold all his coins for the price of a used Honda in 2015 and now its market capitalization is greater than Honda’s at $54B and almost at the market cap of Twitter.
Like, this is the most painful thing anyone can experience.
P:S- This is not Financial Advice it’s for educational purposes. Please do your research and due diligence.