The latest price increase is likely to be short-lived.
The cryptocurrency market is back in investors' good graces. And some of the most speculative tokens are seeing huge gains.
Dogecoin (DOGE 2.22%), for example, is up 100% this year (as of April 5). Could this be the start of a massive bull run that sees the dog-inspired crypto eventually reach the coveted $1 mark?
Riding the hype wave
Investors are rushing in to buy Dogecoin, demonstrating once again how major hype cycles can push up the price in no time. There might be a potential catalyst on the horizon this time, though.
There are rumors that advertisers could use DOGE to pay for ads on X, previously known as Twitter. I applaud the possibility of Dogecoin being used as a payment mechanism, mainly because it can drive greater actual utility of the digital asset, but I'm not sure how many users would really do this. In the past, we've seen Tesla allow merchandise purchases to be made with DOGE. Even the Dallas Mavericks allow ticket and merchandise sales to be completed with Dogecoin.
However, I view this as simply a marketing tactic for companies to boost interest in their own products by riding the typically short-term burst of Dogecoin's price. It doesn't really move the needle from a fundamental perspective.
Like the vast majority of cryptocurrencies, Dogecoin has proven to be a method for financial speculation. Perhaps the recent price run-up is also partly driven by the anticipation of futures products for Dogecoin being launched on Coinbase, a popular crypto brokerage and exchange operator. In theory, this could add more liquidity because it would make it easier for individuals and institutions to bet on Dogecoin's price movements.
A cryptocurrency to avoid
Looking at Dogecoin's history, it's clear that this token has been characterized by nothing more than periods of exuberance and pessimism. Therefore, only people who believe that they can correctly time the market and predict when upswings will occur should look at Dogecoin. To be clear, this isn't investing; this is trading. And there are very few people that can do this successfully, so it's best to avoid this activity altogether.
With that being said, the only reason most people should even consider buying Dogecoin is if they believe that 10 years from now, it will gain much broader adoption and utility. I'm not so optimistic about this outcome.
If a certain blockchain network has a strong developer community working to advance it, then it raises the chances of long-term success. New upgrades and features could be introduced over time. According to a report by Electric Capital, Dogecoin had 19 active developers working on it in December 2023, ranking 90th out of the top 100 blockchains. This doesn't bode well for its future.
Losing interest
Dogecoin's all-time high was set in May 2021, when it reached nearly $0.74 per token. This was during a phenomenal bull market for the cryptocurrency industry. The stock market was also rising rapidly at the same time.
The overall crypto market is approaching its all-time high again, but Dogecoin remains 76% off its peak price. Its price rose by just 32% in 2023, when the industry roughly tripled in value. I think it is a clear sign that the market is losing interest in Dogecoin, despite its most recent run.
Let's just assume that Dogecoin can reach $1 per token one day. Hitting that target means its price would soar 460% from today's level. Given its current outstanding token supply of 144 billion, this also implies a theoretical market cap of $144 billion.
While Dogecoin's strongest bulls want this outcome to happen, it's hard to believe that an otherwise worthless digital asset could reach such an astronomical valuation. Investors should stay away from Dogecoin. Hitting the $1 mark is probably never going to happen. There's also a high probability the price will eventually go to zero.
Neil Patel and his clients have no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Coinbase Global and Tesla. The Motley Fool has a disclosure policy.
FAQs
Investors should stay away from Dogecoin. Hitting the $1 mark is probably never going to happen. There's also a high probability the price will eventually go to zero.
Will DOGE reach $100? ›
The prediction of a $100 DOGE relies on "hyperbitcoinization," a scenario in which Bitcoin surpasses traditional money. While that is unlikely to happen by 2028, it could happen well into the future.
Which coin is going to reach $1? ›
1. Pikamoon (PIKA): A 3D Play-to-Earn (P2E) Web3 game token, positioned for explosive growth. 2. Shiba Inu ($SHIB): Aimed at hitting the coveted $1 mark, bolstered by growing utility and plans for a metaverse.
Which coin will boom in 2024? ›
Top 10 Cryptos in 2024
| Coin | Market Capitalization | Current Price |
|---|
| Ethereum (ETH) | $422 billion | $3515 |
| Binance Coin (BNB) | $87 billion | $595 |
| Solana (SOL) | $66 billion | $143 |
| Ripple (XRP) | $27 billion | $0.499 |
6 more rows7 days ago
You could be a millionaire with Doge right now if you owned about 3.6 million of it. It is valued at about 28 cents a coin right now as I write this. We do not know the future. It may get to a point we have a Doge millionaire.
How high can DOGE go realistically? ›
DOGE price predictions 2040
CoinMarketCap forecasts Dogecoin's value to surge, potentially hitting an all-time high of approximately $2.107 as demand continues to rise. Coinjournal offers a more bullish outlook, projecting a price of around $4.70 for Dogecoin in 2040.
Is DOGE about to skyrocket? ›
Dogecoin Overview
Our real-time DOGE to USD price update shows the current Dogecoin price as $0.139366 USD. Our most recent Dogecoin price forecast indicates that its value will increase by 0.97% and reach $0.140719 by June 13, 2024.
Which crypto can give 1000x in 2024? ›
Being a project that stands out for several reasons, EarthMeta could potentially be the next 1000x in crypto space. Since the project integrates AI with the Metaverse, creating a decentralized digital world, it allows users to own, govern, and interact with virtual cities and assets, providing a unique experience.
Which coin will go 100x? ›
Smog Token (SMOG)
This vertical ascent can be credited to SMOG's ingenious tokenomics rewarding early adopters. By simply holding SMOG, users automatically accumulate 'airdrop points' that tally towards a momentous planned airdrop distribution down the line.
What is the most promising crypto under a dollar? ›
Best Crypto Under A Dollar: Detailed Reviews
- OppaCoin – The Meme Coin Merging K-Culture with Cutting-Edge AI. ...
- BlastUP – Red-hot Crypto With Multiple Potential Upsides. ...
- Shiba Inu – Dogecoin Alternative With Utility Across the Ecosystem. ...
- Cardano – Utility Token With Fast Transactions and Increasing Use Cases.
Our top pick for the cryptocurrency most likely to soar by 1000x is $PLAY, the native token of the PlayDoge ecosystem. This new meme coin boasts the popular Doge mascot in a classical 2D art style and a play-to-earn game utility.
Which crypto will skyrocket? ›
As Bitcoin prepares for its next rally, other promising cryptocurrencies are poised to benefit from this upward momentum. Our detailed analysis highlights the top cryptos to consider for substantial returns: PlayDoge ($PLAY), Wiener AI ($WAI), Sealana ($SEAL), Binance Coin (BNB), XRP (XRP), and Solana (SOL).
What's the future of dogecoin? ›
Dogecoin has seen around 103% growth in the past year, and analysts expect it to reach a maximum of $3.035 by 2030. Dogecoin (DOGE) was created as a joke in 2013 but has since gained immense popularity and now has a loyal following and a market capitalization of over $18.25 billion as of June 18.
Have people gotten rich off Dogecoin? ›
Trending: Dogecoin millionaires are increasing — investors with $1M+ in DOGE revealed! Musk has played a huge role in the success of DOGE. While the initial tweet did not have much of an impact on the price, Musk continued to post about DOGE over the next few years, helping to raise awareness about the token.
Should I still be investing in Dogecoin? ›
From the foregoing discussion, it is safe to say that it is not too late to buy Dogecoin. DOGE continues to be a promising cryptocurrency and the only meme coin among the top 10 cryptos by market capitalization.
Can Dogecoin reach $1? ›
For Dogecoin's price to skyrocket, demand would need to outpace rising supply. That's a tall task. In my view, then, there are no fundamental reasons to be long-term bullish about Dogecoin. In fact, it's very unlikely the token will rise 600% to reach $1 by 2030.
What will DOGE be worth in 2030? ›
Dogecoin (DOGE) Price Prediction 2030
| Year | Price |
|---|
| 2025 | $ 0.129357 |
| 2026 | $ 0.135824 |
| 2027 | $ 0.142616 |
| 2030 | $ 0.165095 |
1 more row2025 Dogecoin Price Prediction
Techopedia takes a fundamental approach and expects an average of $0.3 by the end of the year. AMBCrypto predicts a minimum price of $0.38 and a maximum of $0.57 for 2025. CoinPedia has a more bullish Dogecoin price prediction with the coin trading at an average of $0.845.
Can Dogecoin reach $10 dollars? ›
During that period, Dogecoin's price surged by a staggering 28,770%. Martinez's analysis indicates that a potential breakout from the descending triangle pattern could catalyze another bull run for DOGE. Based on the chart shared by Martinez, he suggests that DOGE could potentially approach the $10 mark at some point.
Can Dogecoin reach $20? ›
Dogecoin might reach $10 per coin In a decade, but it's almost impossible to hit $100 per coin. But can Dogecoin reach $20? That's likely too far out of reach. For Dogecoin to be worth $20, its market cap needs to grow to $2.7 trillion.
