Cryptocurrencies have been in great demand since their inception. This is due to the possibility of easy and quick earnings without large investments. Many are betting on new crypto that has future prospects. But, old tokens also remain relevant.
One of the old and still valid cryptocurrencies is Dogecoin. And it will be discussed in this article.
What is it?
Dogecoin is a fairly old cryptocurrency that appeared in 2013. There have been ups and downs in this story. But, over the past year and a half, there has been a positive trend. At its core, this is a fork of Bitcoin, however, a developer from the United States tried to move away from BTC and create his own unique virtual coin, which, in fact, he succeeded. As for a coin that was made out of a joke, over time it gained a certain reputation and took its rightful place in the crypto world.
There are no complicated actions behind this virtual currency, the goal is to buy a certain number of tokens and wait for the most opportune moment to sell it. The best moment would be when it reaches its highest value. And it can be at any time, now, in a few weeks or a month.
Forecast for 2023
Dogecoin is one of the most stable cryptocurrencies. For several years now, the value of the coin has been practicing at the same level. And to make a forecast for the future, it is important to understand why Dogecoin is growing:
- Coin availability – due to the low cost, absolutely everyone can buy coins. Moreover, the purchase goes immediately for 1000 coins. And its accessibility that attracts the masses. And it is important to understand that the more people buy Dogecoins, the higher the rate will grow.
- Capitalization – at the beginning of 2023 there was a jump in capitalization growth. This means that people and investors continue to pour money into this network by purchasing tokens. And one of the explanations for this phenomenon is accessibility.
But why, with such rosy prospects and constant interest, the exchange rate for the coin does not grow faster?
It’s very simple; one of the factors affecting the value of the token is the limited emission. That is, when the maximum number of coins is known in advance, the value increases with each mined coin.
All this suggests that crypto has growth prospects, but one should not expect big changes during the current year. You can endlessly peer at the charts in an attempt to unravel further dynamics, argue about technical and fundamental analysis, and so on, but first of all, you need to understand that for the most part the Dogecoin course depends on users. And the value of the token will continue to grow as long as users believe in this meme, buy coins, and trade them on exchanges, and so on.
In addition, the following features of this crypto should be considered:
- Transaction speed – all Dogecoin transactions are conducted and processed much faster than those of more expensive competitors.
- Low commission – here it is important to understand that the more expensive the coin is and the more popular it is, the higher the commission is charged for transactions.
Dogecoin was used to collect charitable funds, organize various sporting events, and so on. In addition, it was used in a project to improve clean drinking water around the world.
To understand dogecoin price prediction in 2023, it is worth clarifying what is affecting this at the moment:
- Active trading – a huge number of coins are used in trading on exchanges. This means that a huge amount of coins are bought and sold every day. At the same time, there is still a tendency to purchase. That is, people buy more coins, expecting an increase in the rate. This, in turn, also affects the growth in value.
- In terms of capitalization, it has already entered the TOP 30 virtual currencies.
The Asian market is also interested in Dogecoin, thanks in large part to fast trades and low fees.
On May 13, 2023, the world was shaken by a news story. Elon Musk announced on his Twitter account that his company Tesla will no longer support the execution of transactions, i.e. the purchase of vehicles with Bitcoin. His reasons were too clear, they will throw this coin out of use due to the huge amount of resources, fuel, which is used for mining and to carry out those transactions. This is not good for the environment in the long run. The move angered his followers a bit and had a big impact on cryptocurrency prices, which have been falling since then. But this did not worry the miners of the other coins, such action was quite expected and they were sure that everything would slowly return to normal.
He made an ingenious move, asking his followers if they would agree in the future to use dogecoin as the currency for buying a Tesla car. On which he received positive feedback, and at that moment we could see an increase in the price of dogecoin. This coin is currently not available on all applications used to buy, sell and exchange virtual money, but with the impact that public figures have this will change. Over time, its popularity will increase and more people will want to invest in it.
This is one of the examples where we can see how someone, a public figure, can influence the value of virtual coins. He firmly believes in his views that this coin is the future of the currency and that these are unstoppable financial assets that will rule the world. Elon is currently fully focused on this digital currency, and it remains to be seen how it will affect the future expansion of people’s interest in investing in it.
Would it be a smart idea to invest finance in this currency now? And would it be worth it in the future? At Godex you will find a phenomenal text where you will be explained in detail everything about how this cryptocurrency works. Most importantly, experts say that now is the right time to invest and that in a few years dogecoin will reach its maximum and climb to the top.
We are witnessing how the value of virtual money is changing every day, under the influence of various actions. But is it worth investing in this business? Many experts would give you a positive answer to this question. Because cryptocurrencies are the future. But you should not invest your full savings, some say this would be a very stupid move. But only a certain amount, and if you have enough patience you will witness how after a while your investment would pay off.
All this makes it possible with a high degree of probability to answer the question of whether the value will grow in 2023. And according to many experienced analysts, the cost will go up.