The predictions on Dogecoin are among the most difficult to make, given the very particular nature of this meme coin. To offer useful prospects to those who are thinking of investing – or to those who have already invested – we have prepared a collection of technical analyzes, fundamental analyzes and even target price analyses on Doge, taking into account all the peculiarities of this cryptocurrency.
Even the forecasts on DOGE are constantly updated by our staff and can always be considered valid when they are read. To always have very reliable forecasts that allow us to make an informed decision on our next investments.
A decidedly unique cryptocurrency, born as a game 8 years ago and has become, with several waves, one of the most popular memes on the internet. Furthermore, the price has certainly been altered several times by waves of purchases, pushed by Elon Musk and other very popular characters on the internet, which make the canons of technical analysis and fundamental analysis that we can apply instead to other cryptocurrencies.
The forecasts on DOGE, therefore, will have to be taken with a further pinch of scepticism, because as is already known, the price does not always follow the canons useful for the analysis. On the technical side, we don’t have much to say about this cryptocurrency, which over time has proved to be rather useless – compared to the others – and without a great commercial impact.
Don’t Underestimate The Power Of Memes
Memes, or jokes and jokes on the internet with a high coefficient of replication and appreciation, can have a decisive impact on the markets, including that of DOGE, which was born by taking up another very popular meme, first on then on Reddit. The dog depicted in the project is one of the most popular subjects on the internet and by far the most popular dog in the cryptocurrency industry.
Everything inside the world of DOGE is a joke in all respects. Also, the name of the first signatory of the white paper – Shibetoshi Nakamoto, is a fusion between the name of the popular inventor of Bitcoin and Shiba Inu, the dog represented on the meme token. What is not a game is the over 5 billion dollars of capitalization that the meme token has reached over the last few weeks.
Almost non-existent technical factor
There are no technical improvements made to the birth of Dogecoin, which is yet another useful meme token for quick payments. A project – we repeat once again – was born absolutely for fun and spread mainly through chat and internet sites dedicated to free time. If anyone were to bet today on a price increase of DOGE, due to greater use on the markets, he would probably not see his hopes well pinned.
The interest of Elon Musk and his contact with the developers lead to epochal turning points? Time will tell. For the moment Doge is a PoW protocol less expensive than that of Bitcoin and little more.
Nor can we forget the fact that Dogecoin has always been exposed, to a preponderant extent, to news – often artfully created – concerning it.
This is not strictly speaking about manipulation – but about the same mechanism that governs memes and virality on the internet. A tweet from Elon Musk, or another particularly prominent character, is enough to start the wave of purchases on DOGE, which can push the price up to 100% within a few days of bargaining.
Unstable by nature
Those looking for forecasts on Dogecoin must deal with the enormous volatility of this meme token. Volatility directly depends on the point we analyzed previously: the meme token in fact suffers a lot from the news, which can move its value in a very violent way even within a few hours. A problem for those who invest and for those who make forecasts – which must always be taken into maximum consideration when we think of approaching this cryptocurrency in order to buy it.
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Poor correlation with BTC
The correlation with BTC, which is the only yardstick for the cryptocurrency sector, is very weak. As shown by the graph we have attached. A very poor correlation that does not allow us to consider the towing effect between Bitcoin and DOGE as automatic.
One thing that generally happens with other cryptocurrencies and that highlights, in case there was still a need, the peculiarities of DOGEcoin compared to the rest of the crypto sector.