What is Dogecoin?
Developed by Jackson Palmer and Bill Markus, Dogecoin was launched in December 2013 as a joke. The name “Doge” is derived from the famous meme about the Shiba Inu dog known as “Doge”. However, soon after launch, Dogecoin gained an unexpected increase in value among the community. Since the transaction speed was fast and the transfer fees was low, people regularly started to use it to transfer funds. With the passage of time, the cryptocurrency caught the attention of Elon Musk who frequently tweets about Dogecoin, encouraging his followers to take an interest in cryptocurrency.
After the launch in December 2013, Dogecoin was priced at $0.000255. An unexpected growth caused the altcoin to reach $0.002306 in January 2014, which is nearly a ten times increase in value. But, soon after reaching the peak, there was a sharp decline and for 3 years it remained at its lowest. People who invested during the launch become rich in January, while most of them sold the altcoin, some chose to keep it as a long term investment. Their patience paid off in early June 2017 when all the cryptocurrencies rose sharply to an all-time high, Dogecoin reached the value of $0.003575. Followed by a decline there was a steady increase until it reached its peak in January 2018. Priced at $0.018773, Dogecoin rose to an all-time high.
Market Crash In 2018
In 2018, all cryptocurrencies took a huge hit and fell into a sharp decline. The price of Dogecoin decreased to $0.002725 but, this sharp decrease in value caused more people to buy it because it was a time to invest since the value was very low. Due to this, the price of Dogecoin quickly increased to $0.005806 in April but that increase was only temporary because soon after it fell again to $0.002282 in August. Throughout the entire year, the value fluctuated until the end of the year where it was priced at $0.002222.
Trend In 2019
2019 was a good year for DOGE as the value increased two-fold due to a tweet on the official Dogecoin Twitter account where users jokingly voted to choose a new CEO and among the nominees there was Elon Musk who appreciated the Dogecoin project and the views of the users who voted for him. This caused a major growth in the value of Dogecoin but soon after it met resistance, the value decreased to $0.002 at the end of the year.
Trend In 2020
The price of Dogecoin has fluctuated throughout the years, there was even a trend where Tiktokers attempted to buy the cryptocurrency on Robinhood causing the pump and dump phenomenon. They were led to believe that they can pump the price up to $1, but that was not possible since the market cap of the altcoin was not high enough to achieve that growth.
As the year 2020 began, the price of Dogecoin steadily rose to $0.0035 in February. However, a sharp decline across the entire crypto market decreased its price to $0.0012. This was a great opportunity for people to invest so they bought as much as they could which turned the tides and Dogecoin rose to $0.0054 in July. The price fluctuated after that and but there was a tweet from Elon Musk which literally said “One word: Doge”. This action caused another increase in price which kept on growing till the end of the year to $0.0054.
Dogecoin is on Fire
Right now Dogecoin is experiencing a sharp increase in value. In the past few days, its value has increased by over 70%. It has gained momentum at the start of 2021. Priced around $0.0085, the value is still fluctuating. This particular altcoin may meet some resistance at this point but analysts predict that the value is going increase mainly because Elon Musk is a Great Supporter of Dogecoin.