If there’s any token that started as a joke but soon transformed into a potential project, it has to be the ‘meme king’ Dogecoin.
Of course, the credit for waking the token from its dormant phase goes to Elon Musk, but DOGE has also indicated strong market movements since 2021.
The past movements from the token allowed it to rise to new levels where many were even wondering if Dogecoin is the next Bitcoin. However, while wishful thinking is fun, it would be a far-fetched dream.
Such predictions further make us question whether it makes sense to invest in Dogecoin in 2023. But would investing in DOGE make sense in 2023?
Let’s find out as we explore the different aspects of Dogecoin and its latest market movements while analyzing its future movement for 2023.
Insight Into Dogecoin’s History
Apart from having a Shiba Inu dog as a mascot, there are more distinctions between Dogecoin and other altcoins. Most importantly, Dogecoin is an inflationary cryptocurrency with no upper limit, allowing the token to increase its value with an expanding market.
To give you a better insight, we’ve tried chalking out the significant factors that make DOGE popular:
- Increasing popularity with a solid backing: Adding more potential to the token’s expected future is its booming popularity and the backing of a community with billions of followers.
- Increased rate of adoption: Dogecoin benefits from an exuberant adoption rate which further affirms its popularity among the masses. Thanks to its successful adoption, Dogecoin skyrocketed in its market value, reaching $0.74 in May 2021.
- Increased usability: Gone are the days when DOGE was a means of investment for many crypto enthusiasts. The token is a widely accepted legal tender by many businesses today, adding to its usability beyond a mere investment.
Besides, the growing prevalence of this crypto affirms the presence of Dogecoin concerning other competitors in the market. Adding to it is Dogecoin’s unique characteristics that make it an appealing low-investment, high-return token for many investors. For instance, you can start investing as low as $0.10 and expect returns over $1 if you HODL it for the long term.
However, things have been changing for Dogecoin in recent years. However, the prices have been on a free fall since the onset of the crypto winter, resulting in a dip in its value by a staggering 89% in the past 18 months.
Dogecoin (DOGE) Price Movement So Far In 2022
The price of Dogecoin (DOGE) has suffered from a bearish run since last year. The token started the year with a valuation of $0.1416 in January 2022, which decreased 16.8% from its price in December 2021. The prices rallied upward, reaching $0.1380 in March but falling to $0.0858 by May 2022.
By July 2022, Dogecoin (DOGE) was worth $0.074, which continued until the collapse of FTX recently. Then, however, things changed for good when Elon Musk took over Twitter, breathing life into Dogecoin (DOGE). As a result, the recent spike in the prices of Dogecoin (DOGE) has garnered a lot of attention which further benefits the crypto in the short term.
Recent Developments: What Is The Dogecoin And Cardona Alliance All About?
Given Dogecoin’s growing prevalence and better performance in the past few weeks, many crypto projects are looking to hop on the bandwagon. This isn’t surprising, as every project is down in the dumps following the recent developments in the industry. Even Cardano (ADA) is now looking to partner with Dogecoin to leverage the following benefits.
Recently, Charles Hoskinson, Cardano’s co-founder, tweeted a poll to see how his followers felt about a DOGE and ADA alliance. It is important to note that such a move will mean Dogecoin’s migration to the Cardano network, given the superiority of the Blockchain.
Hoskinson further added that if the poll results are overwhelmingly positive, they will create a more efficient and identity-enabled custom-built DOGE sidechain for ADA on different social networks.
That said, the deal still needs to be finalized, and both parties are now evaluating the response from all stakeholders. But if the deal is realized in the coming times, it will benefit Dogecoin and Cardano.
While Dogecoin might face challenges adjusting as a sidechain of Cardano, it will still benefit from the superior functionality of the Cardano blockchain. As of 29th of November 2022, Dogecoin (DOGE) is worth $0.1013 with a market cap of $13,434,766,193 and a 24-hour trading volume of $1,357,069,686.
Dogecoin (DOGE) Price Prediction For 2023
There is no denying the fact that the end of 2022 has been relatively good for Dogecoin (DOGE) so far. Given this bullish performance, we speculate the token to perform strongly in the coming year.
Considering the volatile price history that the token has presented, we expect DOGE to cross the $1 mark by the end of 2023 while maintaining an average of $0.7 for most of it.
That said, it is essential to remember that cryptocurrencies are highly volatile, making it almost impossible to predict their prices accurately. Be it Dogecoin Vs. Bitcoin or anything crypto, there is no way to predict these prices with the utmost certainty. So make sure you do your research and due diligence to make the right and informed decision.
Dogecoin is one of the oldest meme coins that has been around since 2013. Given its unique characteristics, Dogecoin is an investment worth your consideration in 2023. The token is now benefiting from a bullish run, and it makes sense for traders and investors to capitalize on this opportunity.
However, if you’re a long-format HODLer, we suggest opting for more stablecoins than settling for tokens that generate value due to the hype around them. Besides, it’s too dangerous for any token to be influenced by the moves or comments of any one entity. So while investing in DOGE could be profitable, it would be wise to balance your portfolio with other stablecoins.