Let's Talk About the DOGE COIN
DOGE:
Either you are monitoring the crypto market for a while or don't care about what's going on in the crypto market. In your journey, you must have heard about the DOGE. I amn't talking about the Dog that you feed Pedigree in your house but the one which is making many people millionaires these days. Yes, the same one Elon Musk Keeps shilling all the time.
Let's Talk about the Fundamentals:
If you have made until this far, then I am sure you know that the DOGE was literally started as a meme coin. This token has a total supply(Units) of 129Billions and the same number of tokens are in circulation in the market. The current price of the token is 33 cents and in the 7 days, it had peaked at 41 Cents. The major thing to take note of is that the price of this Coin was 0.0034$ on December 1st, 2020.
What thing is driving the Doge-Rocket?
Image Direct Link- https://www.tradingview.com/chart/BgijmdkJ/
The image you are seeing is nothing but the chart of Doge/USDT pair and the steady growth seems mind-blowing. I know 14000% Gain in a asset is insane.
There are two factors causing the price of Doge to the moon. The first one is Elon Musk, CEO of TESLA INC.; Founder of PAYPAL; CEO of SpaceX; Co-founder of Neuralink, and many more. And the second factor is also Elon Musk.
Initially, he was giving hints regarding the Doge coin. But the things changed after he literally starts praising about the Doge token or starts shilling, with his tweets and memes, whatever you call it but after that time Doge was hitting one after another ATH breaking the previous one. After that time he is just praising the Doge coin and it was also anticipated that Elon is putting the DOGE coin in his SpaceX project and sending it to the MOON. It's not the moon we usually say when a price of an asset spike, he is sending the coin to the natural satellite of the Earth- the Moon. Elon Musk is fueling Doge by tweeting about Dogecoin and he has millions of followers who get influenced by his tweets and posts.
Is the SPIKE Sustainable?
The real question is how long Dogecoin stay at such peak pumping every month? If we look at the buyer of the Dogecoin, They have their targets and are thinking to sell their bought doge at around certain targets. The only difference is they aren't buying the Doge for any purpose or as a store of value like most of the Cryptocurrencies. People are just buying it because they want quick money and FOMO is hitting them causing the demand to skyrocket. The pump at the doge is looking even more than the parabola and it looks like a straight growth if we just look at the charts which is the bad thing for almost all so-called traders. The market will suffer bear trend and usually, the bear market is shorter and even faster than the bull market. Those who are early to the doge would face no worries, but I am sure many would be at the peak and they would face the most. Also, there are big whales in the doge who would dump their token at any point and this would change everything. Considering no real use cases, big whales holding a big percentage of tokens, people planning selling price before buying the token, and a whole community driven by a Multi-Billionaire Businessman, It is pretty difficult to analyze how bad the end will be. The irony is we are in the decentralized market and Blockchain technology driving the market but here are things completely different.
Effect of DOGE On Other Cryptos?
As you know there are other several projects in which developers are working day night to make the best futility of the coin and make their coin in the top crypto projects but when it comes to the marketcap, all of them, ADA; DOT; LINK; BCH, are lagging behind the Dogecoin. Although the liquidity and popularity of crypto space are increasing, the negative impression if happen in the end it would be just adding the fuel to the fire. And the traditional view of great projects, great development, great teamwork, the great roadmap will lead to the great market cap has become faulty after the Dogecoin massive performance.
So what do you think about the DOGE big performance? Are you happy with such a big performance from a crypto project and what do you think about the end result of doge price?Be sure to make a reply about your thoughts..
DISCLAIMER-
The above-mentioned are my thoughts and maybe faulty from someone else perspective. If you like to comment, you can do it wisely.
Investment is a matter of risk, Be sure to take your decisions on your own relying on your own research. This post should not be considered as a factor affecting your financial decisions either you are long or short.
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Hi Ridam,
It is so amazing that this meme coin has grown so much! I was a bit surprised that DOGE has increased its value more than BCT this year already. LOL! I realized that I had bought some DOGE a long time ago just for fun and stored it in my old phone for a long time, and found out it is a good sum of money now LOL! Thanks to Elon!