Dogecoin was created in 2013 by software engineers Billy Markus and Jackson Palmer as a faster but more “fun” alternative to bitcoin.
It was founded on the “Doge” meme and began as a “fun” alternative to Bitcoin. Dogecoin is now worth $40 billion, defying all expectations, and its price has increased by 400 percent in the last seven days.
Dogecoin’s value has risen dramatically last week, adding about $19.9 billion in just 24 hours to reach $34 billion, according to Coinmarketcap, a market data platform.
The digital token was worth 28 cents in the United States on Friday, more than double its value the day before. It’s a top-10 crypto token that’s seen a 300 percent increase in seven days.
Dogecoin, soared earlier this year thanks to the excitement of a Reddit forum named SatoshiStreetBets. SatoshiStreetBets seeks to boost the prices of cryptocurrencies, similar to the subreddit WallStreetBets, which helped spark a surge in GameStop shares at the start of 2021.
Dogecoin has been steadily increasing in value over the last week, reaching a high of ten cents per coin for the first time on Wednesday and about forthy cents on Friday.
In the last seven days, it has increased by 400 percent. A Reddit user shared a screenshot of their dogecoin holdings on the Robinhood investing app on Friday.
The user said, “Hey guys, I just became a Dogecoin millionaire,” with a balance of $1,081,441.29 in their account.
According to some sources, the recent dogecoin rally is due to Tesla CEO Elon Musk’s support for the meme-based token. He has made a number of tweets about dogecoin, which has aided in its price rise.
Musk sent out a cryptic tweet on Thursday, titled “Doge Barking at the Moon,” which was most likely a reference to the famous crypto slang term “to the moon.”
Dogecoin is the billionaire’s “favorite” cryptocurrency and “the people’s crypto.” On his other tweet last week Elon Musk confirmed it is inevitable.
Other personalities have also promoted it on social media, including rapper Snoop Dogg and rock musician Gene Simmons.
Unlike Bitcoins, which have a cumulative limit of 21 million coins, which is expected to be surpassed by 2040, Dogecoins have no such limit, and there are currently over 100 billion in circulation.
There are numerous speculations about the future of Dogecoin at the moment, especially after the collapse of Bitcoin and other popular cryptocurrencies on Saturday and Sunday, wiping out a record 500 billion from the crypto’s values.
“People are buying the cryptocurrency, not because they think it has any meaningful value, but because they hope others will pile in, push the price up, and then they can sell off and make a quick buck, David Kimberley, a U.K investing app ‘Freetrade’ analyst told CNBC.”
A survey conducted by Benzinga on which cryptocurrency will have the largest percentage gain in the next one year shows an outcome according to Benzinga which situated Bitcoin at 12.6%
whereas Dogecoin is projected to a record 87.4%.
By the middle of 2022, Forsige assume Dogecoin would be worth more than $2 per coin. As a result, you must make an investment.
However, if you want to invest in Dogecoin keep in mind the risks involved in purchasing a volatile asset. The cryptocurrency market is still largely unregulated, and any cryptocurrency’s value may fluctuate at any time.