The market value of Dogecoin has surpassed that of Porsche. Dogecoin rose 175% in the past month, reaching a market value of 57.8 billion USD, surpassing Porsche's market value of 56.1 billion USD.
Dogecoin is indeed one of the first cryptocurrencies to start this bull market. From a price of 0.1 USD in mid-October to 0.479 USD in late November, it has increased nearly five times, which is much crazier than BTC. I believe many friends in the crypto circle hold Dogecoin; the name is nice and memorable. It is a meme coin with a low price, high popularity, and large circulation, loved by many. Many new entrants to the crypto market choose Dogecoin first. Dogecoin's rise in this bull market is mainly due to the favorable news from Musk and the US presidential election. Before the election, Musk kept promoting Dogecoin, raising its popularity and price. During the election period, Musk was continuously in the spotlight, followed by Trump's victory announcement and the establishment of the US Efficiency Department (D.O.G.E). Musk also promoted Tesla's use of Dogecoin for transactions. With so much favorable news, how can Dogecoin not rise?
Of course, when so much favorable news came out in the market before, people's expectations for Dogecoin were far beyond this. So can Dogecoin reach everyone's expectation of 1 USD or even higher next? I think it's no problem! 1. First of all, Dogecoin has humorous social attributes! It is one of the oldest and strongest consensus POW cryptocurrencies!
2. The代市 model is superior to Bitcoin (not to undermine BTC). I believe that in the next 10 years, people will realize that for a POW network to operate safely and stably, and for the price not to be affected, Doge's stable annual issuance of 5 billion (3% inflation) is a very perfect model! It can guarantee miners' stable income without the need to continuously push prices to double! This is a stable balance model. The reason why issuance is necessary is that from the perspective of the entire cryptocurrency POW coins, no coin can rely solely on 'transaction fees' to maintain miner profits and operate safely! Bitcoin cannot either, because Bitcoin halves every four years, so if miner power remains unchanged, the price needs to be pushed up to maintain miner profits. Therefore, in the past decade, the crypto circle has formed the inertia of a bull market every four years, which has coincidences and other influencing factors, but this inertia being broken is just a matter of time! In my view, this is also an extremely unstable model!
3. The goal of Dogecoin is point-to-point cash, which is also the vision of Satoshi Nakamoto's Bitcoin whitepaper! Assuming that in the future X really achieves a payment system and lists Dogecoin as one of the payment methods, then the annual issuance of 5 billion will flow into the world as a medium of exchange in various goods. The essence of currency is a medium of information exchange! This way, more people and more industries will hold Dogecoin, and supporting such a 'payment method' will become a trend and consensus, and Dogecoin may have both payment and value storage attributes! Just like you hold dollars and can use dollars to trade goods! Here, please note the mention of Bitcoin; it is just a commodity, a scarce commodity with appreciation potential. Bitcoin does not possess the currency attributes of being a medium of information exchange on a large scale! So, Bitcoin is indeed digital gold and very great, but Dogecoin's direction is dual-attribute!
4. Dogecoin's low price is more conducive to attempts by new people to buy in! Don't underestimate the issue of price; as the total market value increases, the price becomes a threshold for newcomers. Ask your new friends around you if they would still choose Bitcoin as their first coin when entering the circle? Therefore, ordinary people's opportunity may no longer suit owning Bitcoin, but Dogecoin is a very good choice!
I believe that in the short term after a pullback, Dogecoin will rise again, breaking recent highs and reaching around 0.5 USD. After Trump officially takes office, more favorable news will come, and many digital currencies, including Dogecoin, will soar again, reaching historical highs and breaking 0.73 USD, potentially exceeding 1 USD by next spring.
So, if you are currently stuck with Dogecoin, don't panic at all. Just hold on and it's fine. Buying in at the current level also has a great chance of doubling. Of course, if you can choose a better entry point, the profit potential will definitely be larger!
