Bitcoin and its primary rival Ethereum have been spiking like crazy, but in truth, their price jumps can barely hold a candle to those of Dogecoin.
Dogecoin Is On the Rise
The currency has been something of an enigma over the past few years and has also seen its fair share of controversy. What is it designed for and who should be using it? These are only some of the many questions that both analysts and traders are likely asking themselves, and it is quite clear that nobody has definitive answers. Nobody really seems to know why they should love Dogecoin, and yet they do.
Perhaps it has something to do with the currency’s mascot. The portrait of the cute little Shiba Inu dog that has served as the face of the digital asset since it was first conceived has become a rather recognizable symbol for many lovers of digital assets. Perhaps this funny, furry little guy has become a bit of a comfort figure for many diehard crypto fans.
Dogecoin was first invented in the year 2013. Initially designed to be a joke, the currency has spiked to possess a valuation of more than $1 billion, and it has since jumped into serving as one of the world’s largest and most talked-about cryptocurrencies, though to be fair, the currency has never been more than a few cents. Right now, the asset has incurred another spike that has brought it up to a new all-time high of just over 14 cents after Elon Musk said he wanted to leave it on the moon, but this is still small beans compared with the $63,000 of bitcoin in recent days.
Now there is serious talk about Dogecoin potentially reaching one dollar by the end of 2021. Could this occur? Many analysts are debating back and forth about the prospects of the meme asset and how much larger it could be within the coming eight months.
YouTuber and Dogecoin inventor Ben Phillips recently showed love and support for his digital baby in a new interview, claiming:
I think [Dogecoin could reach] $1 this year. I am not joking. I see this coin doing some stupid moves.
Phillips was also quick to say that he is going to buy more Dogecoin soon given that the asset has spiked more than 10,000 percent in just the last six months alone. Right now, its market cap exceeds a whopping $30 billion.
Things Are Going to Maybe Get Nuts?
Alex Kuptsikevich – senior financial analyst at FX Pro – explains:
It is worth remembering that big capital prefers major cryptocurrencies, and its optimism may not extend to all other coins, which mostly attract retail demand. The interest in the meme coin should serve as a reminder that in the case of rapid correction, altcoins would face a selloff that would be much fiercer than that of the major coins.