How much would you have earned if you bought #Dogecoin how much Elon Musk made his first tweet about the currency? 🧐
• Suppose an investor decides to invest $100 in Dogecoin on April 2, 2019. Upon purchase, they pay a 2% commission, which reduces their effective investment to $98.
• The price of Dogecoin at that moment is $0.0022. With $98, the investor can purchase 43,478.26 DOGE.
• Over the years, the price of Dogecoin experiences significant fluctuations. In May 2021, it reaches an all-time high of $0.7376. The investor decides to sell all of his capital, including profits, at this time.
Considering the sales commissions of 2%, the investor's net profit would be:
Initial investment: $98
Amount of DOGE purchased: 43,478.26 DOGE
Sale price: $0.7376
Gross Profits: 43,478.26 DOGE * $0.7376 - $98 = $31,792.23
Sales commission: $31,792.23 * 0.02 = $635.84
Net profit: $31,792.23 - $635.84 = $31,156.39
TOTAL PROFIT: $31,156.39 🥶
In this realistic scenario, the investor multiplies his initial investment by more than 31 times by selling his DOGE at the all-time high in May 2021.