Can Dogecoin reach $100?
It is a conundrum to ask whether Doge will reach $50 mark or $109 mark. But we are sure that it will cross $1 target in the next few months. Let’s take a stance on this…
The meme based cryptocurrency stands at $0.4246, as per this writing. It is very likely to reach the $1 mark at the end of this year or after 10 tweets of Elon Musk. Billy Markus and Jackson Palmer cracked a joke 7 years ago, since then it is flattering the whole “Doge tribe”.
On 4 May 2021, the coin was valued at $0.50 with almost 20,000% increment this year. As Bitcoin is no longer treated as a currency but merely a digital asset. Ethereum and Doge have emerged as the potential digital currencies for future transactions. Both Ethereum and Doge out are uncapped currencies, which means they have no limits. As of 9 May 2021, there are 129.5 billion Dogecoins in terms of production.
● Doge’s price is comparatively low then other cryptocurrencies such as Bitcoin, Ethereum, Litecoin and so on.
● Dogecoin’s transfer time is 10x faster than the other coins, BTC and ETH.
● Dogecoin is an uncapped currency, which means there is no limit of the coin’s production.
● Dogecoin has a lower transaction fee than BTC and ETH.
So Doge has many pros than other currencies. But there is a catch, it is worse than USD.
Doge is worse than the US dollar because it is inflationary, it has no store of value, unlike Bitcoin and USD. Both Bitcoin and USD have a great store of value. Store of value means that an asset maintains or retains its purchasing power into the future like Gold.
There is no institutional support to Doge. Every hour 600,000 Dogecoins are added to the market and each second it devalues. No institution has interest for investment in Doge. Its inflation rates are higher than that of USD. Also Doge is not widely acceptable and has only online use
On 2 June 2021, Dogecoin was listed on Coinbase Pro (a platform for Cryptocurrency exchange). After listening to the coin, it jumped 41%. Now it has a market capitalisation of $54 billion. Every time “Doge Father” Musk tweets, its price surges. So there is no doubt that it will cross $1 mark. It will hardly take 1 year to do so.
To achieve $2 mark, it is going to be a little bit tough. Since, no institution is interested in Dogecoin. At some point, this will hinder its growth. Crossing $2 mark will take 3-4 years. If Doge managed to reach $2 mark, its market capitalisation will be $270-300 billion, which is not crazy high. $2 marks is quite achievable.
Total market capitalisation of Bitcoin is $1.1 trillion. If Doge managed to cross $10 mark, it’s market cap will be $1.2 trillion, crossing that of Bitcoin. Well, this will take more than a decade. The currency is uncapped, it does not have long run legs (at least for another 15-20 years). But who knows, maybe one day Elon Musk will succeed in settling a human colony on Mars. If that happens, I bet the “Doge” will run in the bulls race.
This is impossible. A $100 per coin. Nope, this is not going to happen. If Doge hit $100 mark, it’s worth it will be more than $18 trillion. Ayye..ayye..ayye…that is more than that of China and the USA. This nutso to think that.
Well, don’t be so pessimistic about it. Anything may happen. Just prepare yourself and welcome everything for good.