Dogecoin (CRYPTO: DOGE) had a great year so far. Only in the month of May, its value has surged up to 700%. This meme-inspired cryptocurrency has skyrocketed 12,000% over the past year.
It is impossible to ignore such kinds of returns thus a lot of investors are humping on the cryptocurrency bandwagon in hopes of making quick money.
When Telsa CEO Elon Musk praised the digital coin on national television, its demand surged even higher. Compared to the value of other cryptocurrencies like bitcoin and ether, dogecoin made a massive gain. The current rate of 1 dogecoin to USD while writing this article is 0.368911 USD.
Should I Invest In Dogecoin in 2021?
A lot of cryptocurrency novices do not understand the difference between the respective price increases of bitcoin and dogecoin. Bitcoin has economic incentives built in for miners so that the creation of new bitcoin is continued and there is a hard cap of 21 million bitcoin that will ever be able to exist. On the other hand, dogecoin has no such infrastructure. The popularity of dogecoin is entirely fueled by the excitement on Twitter and Reddit threads.
With a huge amount of liquidity sloshing around the market, the question that is bogging the mind of investors is if dogecoin is a good investment. Before you consider investing your hard-earned money in dogecoin, you should know that investment analysts aren’t rooting for a dubious investment like this only because it is in vogue.
Should I Buy Dogecoin in 2021?
The answer to the question- ‘will dogecoin go up?’ is that nobody knows. When it comes to cryptocurrencies, you must remember that popularity and reliability do not necessarily go hand in hand. Many experts have warned of the bubble potential of dogecoin. For a token like a dogecoin that is extremely volatile, it is better to invest with caution. Do not invest any money that you can’t afford to lose entirely.
- If you have money to spare, you can gamble and made some more by investing it now
The fundamentals of dogecoin are not as strong as other currencies
Since there is nothing about dogecoin to warrant phenomenal returns, it’s likely that the bubble will burst soon
Things To Remember
Should you invest in dogecoin 2021 or not needs to be addressed before you give in to this cryptocurrency hype. Here are some tips to make a wise decision:
- Do not throw your money into a digital currency because of social media hype
- It’s not possible to certainly know that we are in a bubble, neither investors can time the market by sitting on the sidelines
Dogecoin Price Prediction 2024-2025
As per the prediction of experts, in 10 years dogecoin will see another bull market breakout. Around late 2024 and 2025, the bull market will kick into high gear.
How To Buy Dogecoin On Robinhood
You can purchase or hold dogecoin on Robinhood. You can also day trade cryptocurrency on your Robinhood account.
Frequently Asked Questions About Dogecoin
Q-What is dogecoin?
A-Dogecoin is an altcoin named after a meme dog. It was created as a joke in 2013 but made a place in the crypto market.
Q-Should I Invest in dogecoin?
A-This article provides all the required details to avoid any pitfalls if you decide to invest. The answer is up to the reader.
Q-Is dogecoin a good investment?
A-Dogecoin can appreciate in value but nowhere to the same prices as Bitcoin or Ethereum. This is why it is difficult to call dogecoin a good investment when so many better choices are available in the market.