Dogecoin is a cryptocurrency, much like the Bitcoin. Also, to live up to its rather unusual name, the Dogecoin does have the image of a dog on the coin. That however isn’t the only unusual aspect of the cryptocurrency as its lineage is equally interesting. That is because the Dogecoin had started as a joke back in 2013 and has its origin in a popular meme.
However, cut short to the present and the same Dogecoin is creating history, and how! The digital currency saw its value jump 500 percent, which is incredible by any counts. In real-word terms, its value increased from as low as $0.009 in January 2021 to $0.38 just days back. The recent surge in demand for Dogecoin can be attributed to several celebrities such as Tesla CEO Elon Musk or rapper Snoop Dogg who discussed the same on social media.
As for Bitcoin Revolution, that happens to be the more conventional form of cryptocurrency that has been here for a while. Over time, it has also emerged as the most popular form of digital currency and has even made it to the mainstream economy as well, to some extent at least. For instance, Tesla said they would accept payments in Bitcoin for its cars.
Several other celebrities too have endorsed Bitcoin, all of which has added to its value significantly off late. No wonder, its value at around $55,855 which is still 14 percent less than the record peak of $63,200 it reached last week. Other companies that have endorsed Bitcoin include square, Mastercard, BNY Mellon and Twitter. Celebrities of the likes of Lindsey Lohan, rockstar Gene Simmons, rapper Logic, actress Maisie Williams, they have also expressed interest in Bitcoin.
Experts argue that Bitcoin has emerged as the perfect antidote to inflation, which is the reason it has started to see greater acceptance off late. The trend again isn’t likely to change anytime soon given that central banks aren’t likely to give up on fiat money printing while government spending too isn’t showing sign of coming down as well. All of these, economists argue, are signs of Bitcoin scaling new heights of popularity worldwide.
For Dogecoin, the recent spurt in its demand not only owes it to Elon Musk who discussed it on social media. For there has also been efforts by a Reddit forum by the name SatoshiStreetBets that also contributed to the upswing in Dogecoin’s fortunes, so much that the cryptocurrency is now valued at an insane $80 billion. The picture of the Shiba Inu dog popularly known as the Shibe has only added to the intrigue that the Dogecoin has come to be in recent times.
However, so much for all the popularity and price surge that the Dogecoin has been witnessing in recent times, experts warn it started off as a joke and is expected to end up as one as well. All the surge it has seen in between could only be a bubble waiting to explode, and when it does, it will end up being vapourware and nothing else.
Experts also warn the downfall of Dogecoin is inevitable as its price is not sustainable in the long run. Also, while it is certain to collapse at some time, what is going to hurt the most is that there is going to be a huge chunk of retail money to too will collapse with it. There is going to be a huge loss to sustain. So, the general message is that one should stay clear of Dogecoin no matter how interesting it might see at the moment.