Key Takeaways
- Dogecoin can reach $1 this decade, with our expert prediction being 2027. Its growing utility as a means of payment, along with billionaire Elon Musk’s support, is driving this trend.
- Factors such as celebrity endorsement, growth in utility, and faster technological development can propel its price to new heights.
Dogecoin has emerged as one of the top 10 cryptocurrencies by market cap. It rose by 16,000% within six months between 2020 and 2021. However, Dogecoin is prone to deep corrections.
This trend has raised questions such as “Can Dogecoin recover?” and “Will Dogecoin Reach $1?”. Let’s clarify the future of Dogecoin.
Will Dogecoin Reach $1?
To reach $1, the price of Dogecoin would need to increase by more than ten times from its current price! To be honest, it doesn’t look likely to go to $1 in 2024.
However, the continuous support of Elon Musk, along with its fast and cheap transactions, can increase demand in the long term.
Considering its price has risen 160 times before, it is realistic, but many doubt if such explosive growth is possible again.
Since Dogecoin is a meme coin, many investors are attracted to it based on the market’s momentum.
We also need to factor in the all-time high price Dogecoin reached, which was $0.7605 per Dogecoin in the previous bull run of 2021. Its value has experienced a decline, dropping below 87% of this peak value since then.
Challenges like infinite supply, lack of sustainable competitive advantage, and slow technological growth may hold it back from reaching $1.
Catalysts for Dogecoin to Rise to $1
The three primary triggers for Dogecoin to Rise to $1 include:
1. Growing Use Cases
Dogecoin’s primary use case is the ability to make payments with ease. Over time, many DOGE investors hope it becomes an accepted means of payment on a broader level.
Elon Musk has even been allowed to buy merchandise from Tesla using Dogecoin. There have also been talks of having Dogecoin as a payment option for X Blue.
On the other hand, individuals started to use the coin for donations. As more people use Dogecoin as a payment option, its value could be appreciated.
2. Social Media Hype
2021 was a breakout year for Dogecoin with its massive upward pricing movement.
The primary catalyst for the social media hype of Dogecoin has been Elon Musk. With more than 165 million X followers, when Musk tweets about Doge, it reaches the entire world.
For instance, Musk appeared on the show “Saturday Night Live,” which included several comments as a joke about Dogecoin, including calling it a “hustle.”
This event led to a massive number of posts regarding the meme coin all over social media, immediately leading to a 20% dip in the price of DOGE.
Later on, when Musk provided positive comments on DOGE, it increased in value.
3. Fast and Cheap Transactions
A key advantage of Dogecoin is it provides fast and cheap transactions.
For example, Bitcoin does 7-10 transactions per second, while Dogecoin can do around 33 transactions every second.
DOGE’s transaction fee is as low as a couple of cents per transaction. This fee is much lower than other cryptocurrencies.
These features can provide an edge for Dogecoin to become a well-known payment system rather than only a meme coin.
For now, many have used it for tipping and donations in online communities. For instance, users use it on X to tip one another directly on the platform in exchange for insightful content.
However, this trend has been there even back in 2014. During that year, the Dogecoin community raised over 40 million Dogecoins ($30,000 at the time) to provide clean drinking water to people in Kenya.
Coinweb’s DOGE Price Predictions
The current price of DOGE is $0.093. Per our Dogecoin price analysis, it is likely to break past the $0.2 mark by 2024.
Per our crypto analysts and experts, we estimate that DOGE can cross the $1 mark by 2027 with a maximum price of $1.16.
Several factors contribute to its growth, such as continued celebrity endorsement and adoption rates. However, other factors, such as regulations or negative cryptocurrency market sentiment, might push the figure back.
If we take a long-term view, the price of DOGE could increase to a massive $3.32 per coin by the end of 2033.
Get the complete Dogecoin Price Prediction here.
Is Doge a Good Short-Term or Long-Term Investment?
Doge may be both a good short-term and long-term investment.
Dogecoin’s value is highly based on speculation. Regardless of the timeframe, investing in it comes with risks and opportunities with your own research.
In the short term, watch out for news on significant developments. For example, Musk has mentioned that the SpaceX DOGE-1 mission to the moon might happen. If the project is completed, the coin’s value might skyrocket exponentially.
For the long term, look out for significant growth in its use cases, such as growing adoption by companies for it as an accepted means of payment.
Dogecoin might be a good investment if you are okay with high risks and excited by high rewards.
Where is the best place to buy Dogecoin?
The best place to buy Dogecoin is Binance.
More details
Binance is a great combination of low fees, deep liquidity and multiple cryptocurrencies and trading pairs. We have tested every aspect of it and it STILL holds its reign as the top exchange in the world. In our view, it is the perfect crypto exchange for both newbies and advanced traders alike.
-
Biggest exchange in the world.
-
Industry's lowest trading fees.
-
Advance trading options like leverage trading.
-
600+ crypto options, 150+ for the US.
-
Lucrative on-site staking options.
-
Hiccups in account verification.
-
Less regulated than some competitors.
-
The corporate structure is not transparently.
It is the largest global cryptocurrency exchange by trading volume. Binance has low fees, along with more than 350 trading options.
To explore all the best crypto exchanges, check out our article on the best crypto exchanges.
Why Dogecoin May Struggle to Reach $1
Dogecoin’s rapid rise will be part of crypto history. After all, it went up by 16,000%, surpassing any stock advisor returns.
But, because of this, many doubt it may have a similar growth in demand. Let’s explore some of the reasons why Dogecoin may struggle to reach $1.
1. Unlimited Supply
One critique for Dogecoin over other cryptocurrencies like Bitcoin is that there is an infinite supply of Dogecoin. This can pose a significant problem for it to reach the value of $1.
In addition to the existing supply of 142 billion, 5 billion new DOGE coins are added annually.
Its past steep increases show that if there is enough demand, its price can increase exponentially, as in 2021.
But, if we look at Dogecoin’s price history since then, it has been a downward spiral with few short rallies because of speculation.
2. Concentrated Ownership
Another key issue with Dogecoin is that a big chunk of Dogecoin is in the hands of a small group.
The top wallet address alone holds 28% of the total supply. Around 68% of all DOGE circulate the top 100 wealthiest wallets. If these major holders decide to dump their holdings, the price could decline massively.
They can also influence the crypto market considerably, raising market manipulation concerns. For instance, investors sued Elon Musk for $258 billion for manipulating the price of Dogecoin.
The claim allegedly mentioned that Musk sold $124 million worth of Dogecoin after replacing X’s logo with Dogecoin’s. This increased its price by 30%.
3. Slow Technological Growth
One key technological milestone Dogecoin reached was introducing the DRC-20 token standard that allowed the issuance of tokens on the Dogecoin blockchain.
This led to a tenfold increase in their daily transaction volume at the time.
However, the rate of new updates and developments by Dogecoin’s Developers is slow. The project’s original Developers are engaged in their career pursuits.
Since crypto investors are looking into continuous innovative development, DOGE is falling in this context.
Additionally, the lack of significant updates can lead to slower network efficiency and scalability than competitors.
The Truth
Overall, the prospects of Dogecoin reaching $1 remain unlikely for the near term since it would require significant demand in comparison to the current supply, which is infinite.
But, with Elon Musk continuing to promote the meme coin, we can see a significant resurgence in the coming days.
Dogecoin will likely hit $1 over this decade.
As per Coinweb’s prediction for DOGE, its price can reach a maximum price of $0.229 by 2024.
No, Dogecoin is among the top 10 crypto by market capitalization and the most popular among the meme coins. Future Developments and market sentiments have a crucial impact on its future outlook.
It is used as a means of payment and mainly for tipping, donations, and buying items.
It is hard to forecast Dogecoin's recovery since it depends on social hype, technological advancements, and overall crypto market sentiment.
Shawn Munir
Shawn Munir is the CEO of Coinweb.com and spearheads all the collaborative partnerships for the platform. He bought his first Bitcoin in 2017 and never looked back. He is also an investor in 200+ Web3 startups and is considered an expert in the field. Before building Coinweb with his co-founders, he co-founded Presail, a management platform designed for companies and investors to manage their investments in Web 3. In addition to his entrepreneurial endeavors, Shawn serves on the United Nations...
