Recently, the Dogecoin community has exploded with news that one of the founders, Billy Markus, revealed on the X platform: Dogecoin is going to implement deflation! This news has stirred up a storm in the cryptocurrency world. However, the authenticity of the news is still uncertain and needs official confirmation.
Deflation, simply put, means making money more valuable. For example, if a small cake used to cost 10 yuan, after deflation it would only cost 5 yuan, increasing the purchasing power of money. If Dogecoin wants deflation, developers need to submit key changes on GitHub, but the community members and miners must also agree, after all, this is everyone's 'treasure'.
Currently, there are about 146.78 billion Dogecoins in circulation, with an additional 5 billion added each year, and the growth rate will gradually slow down. Unlike Bitcoin, which has a fixed supply, theoretically, Dogecoin's supply is continuous. However, Billy Markus stated that Bitcoin's rules can also be changed and predicted that Dogecoin might be more reliable than legal tender in the future.
If deflation is successful, Dogecoin will go from being abundant to scarce. Whether this will happen depends on the community and miners. What will this deflation adventure look like? Let's wait and see; perhaps Dogecoin will amaze the crypto world.
Additionally, Musk is set to make big moves; his Twitter CEO Linda stated that X payment, which has been in the works for a year, will launch this year. This has sparked significant speculation in the community about whether Dogecoin will be one of the payment currencies. I think the probability is very high.
Because Musk has repeatedly mentioned wanting to turn Twitter into a universal app, especially for payment functions, somewhat similar to WeChat Pay. Now its CEO has finally made an official announcement. Dogecoin has previously been commonly used for tipping, so will Musk create a red envelope feature for rewarding creators? And will Dogecoin be included among the supported currencies?
I think it’s quite possible because everyone knows Musk is really free-spirited. A few days ago, he even changed his profile picture to Pepe, and the efficiency department of the government he is about to lead is named after Doge. Previously, he even changed the entire Twitter logo to resemble Dogecoin, so it is very likely that the new payment feature will include Dogecoin as one of the currencies. Doge might just surge by 50% or even more. Of course, the main currencies for this feature will definitely be USD and EUR; having Doge as one of the options would be enough.
You see, Musk's other company Tesla still supports using Dogecoin to purchase certain products. Coupled with his connection to Trump, I really feel that no one in the US can control him. Therefore, it's not surprising that he supports Dogecoin tips and such on Twitter.
Moreover, I think Musk is not stopping here, as everyone knows he founded the payment giant Paypal, which has already issued its stablecoin PYUSD. I think Musk might also issue a stablecoin this time to capture the payment market.
However, the specific launch date for X payment has not been confirmed yet, but Musk's entry into the cabinet is a real positive factor. Doge had strong upward expectations before Musk's inauguration on January 20, with a minimum target of 0.48, and if Bitcoin's market is good, reaching the 21-year high of 0.7 is not impossible.
Of course, the price expectations for Doge are just one aspect; the event date is even more important. Everyone can hold until January 20 to take profits; at that time, regardless of the price, we should sell first because in the following weeks, it is likely that good news will have been fully released, leading to a correction. We will sell high and buy low to create a wave.
Musk endorsed the proposal to establish TITS on the X platform, stating that the timing might be right. If realized, TITS could provide strong application scenarios for Dogecoin, enhancing its value. Meanwhile, many whales have been aggressively buying DOGE recently. On December 27, a whale spent 90 million dollars to purchase; on December 31, another whale bottom-fished 300 million coins, worth over 96 million dollars.
Whale Alert monitoring data shows that 399,999,999 DOGE has surged out of the Binance platform, flowing into a mysterious unknown wallet.
This massive asset is worth a staggering 144,917,041 dollars. Who is controlling this behind the scenes, and why are they quietly positioning themselves at this time?
As January 20 approaches, the expectations for Dogecoin's price increase are very high, bolstered by Musk's support. Regardless of whether deflation occurs, the future performance of Dogecoin is viewed positively. Let's look forward to it together.
