Like most of the cryptocurrencies, Dogecoin is also an open-source, peer-to-peer digital currency, initially created as a Joke. But currently, with a market cap of more than $22 billion, the asset is among the top 15 cryptocurrencies at the press time. Moreover, during an intensified bull run in the first half of 2021, the asset had surpassed many popular cryptos to feature in the top 10.
Yet since the start of the second half of 2021, the DOGE price plunged drastically and was unsuccessful to regain the bullish momentum. Much similar to the 2018 crash, the price fell into a deep bearish well in 2021 too. Also, some of the external factors led to a huge negative impact on the asset which also kept the investors very much uncertain about the asset.
Despite the asset showcasing minor possibilities of going parabolic, yet the strong Dogecoin community which has grown stronger expects the asset to hit $1 very soon. But, the DOGE crypto price is required to slice through many barriers in doing so!
What is Dogecoin-In Brief!
Dogecoin is one of the popular crypto assets which is more known as a meme coin. Much similar to Bitcoin, Dogecoin is also a peer-to-peer cryptocurrency that was initially used to tip the content creators on different social media platforms. The asset was created by Billy Marcus & Jackson Palmer and introduced for trade as a marketing experiment in 2013.
Unlike Bitcoin, Dogecoin is an inflationary asset as the upper limit of the asset is not sealed. The asset which started with its trade just before the 2017-18 bull run and blast, was heavily impacted by the drastic plunge. Yet after Dogecoin crypto received immense support from Tesla CEO Elon Musk, the price rose very close to its target but failed to achieve it.
How does Dogecoin(DOGE) Work?
Dogecoin works much similar to any other cryptocurrency, mainly Bitcoin. The asset uses the Proof-of-Work consensus mechanism to validate the transactions. Similar to the Bitcoin blockchain, the Dogecoin blockchain also requires the miners to solve complex mathematical problems at the earliest. The miner, who solves the problem, processes the transactions and records them on the blockchain.
In exchange, the miner receives DOGE as a reward which he can either hold or sell in the open market. The transactions on the Dogecoin blockchain are cryptographically secured where all the holders carry an identical copy of the blockchain ledger which gets updated with new transactions now and then.
Additional Read: Dogecoin Price Prediction
Will DOGE/BTC Hit 0.00001 BTC in 2022?
As with the BTC pair, DOGE/BTC had a very silent rally until the beginning of 2021 much similar to the DOGE/USDT pair. During the last few days of January 2021, the asset began its bull rally with a spike of nearly 870% in a single day. This was when the 2021 bull season began which rallied almost all the assets in the market, initiated by Dogecoin.
Further after some minor corrections, the asset again jumped high to record yet another 1200% gains to hit its ATH at 0.00001287BTC. Woefully, much before the May crash, the asset began to shed its gains and the main reason was Elon Musk’s SNL event. Many had huge expectations on the event ‘Dogefather’ as everyone believed Musk would uplift the price towards the $1 milestone.
But the interpreted CEO called DOGE as ‘Hazel’ which dragged the price to rock-bottom levels. And ever since then, the asset is following a clear descending channel forming lower highs and lows constantly. No doubt the asset did spike in between, but it remained only for a few moments as it was influenced by the mentions from Elon Musk.
Currently, DOGE is becoming more uncertain to be known as a store of value and hence requires to attract the traders to induce some volatility. And it may happen only if the asset showcases its independence from any other external factors. The year 2022 is looking like a thriving year and hence we can expect notable growth but to eliminate yet another zero, DOGE/BTC needs to undergo an extreme bull run.
Factors Affecting DOGE/BTC Price Today
Silent Trend of Bitcoin
Bitcoin has been trending within small braces for a very long time and hence is badly impacting its trading pairs too. Once the dominant asset gains enough momentum, then DOGE/BTC price may also gain enough strength to resume with the bull run
As mentioned above, Dogecoin does not have any upper limit, and hence billions of DOGE flood into the market every year. And hence decreases the chance of the asset being a store of value. As of December 2021, more than 132 billion DOGE remain in circulation which deeply impacts the value due to lack of scarcity.
Many companies do accept DOGE as one of their payment options. Companies like Dallas Mavericks owned by Mark Cuban, Kessler Collection, a luxury hotel group, Post Oak Motor cars, AirBatlic, Easy DNS, etc, and many more accept DOGE.
The 2021 surge attracted many strong hands and celebrities towards Dogecoin which created a very huge user base. Many celebrities like Elon Musk, Snoop Dogg, Mark Cuban, Kevin Jonas, Gene Simmons, etc announced their purchases.
Fast & Cheap Transactions
Unlike Bitcoin which has only 7 TPS(transactions per second), Dogecoin is much faster with 33 TPS. Also, the fees are relatively less at approximately $0.65 per transaction compared to $15 on the Bitcoin blockchain.
The asset is highly influenced by the mentions from the world’s richest person, Elon Musk. Almost every time he says anything about DOGE, the prices spike with a huge margin which also fades within no time. And hence keeping the organic trade a little distinct from the asset.
Where & How to buy DOGE/BTC?
DOGE gained huge popularity by rallying nearly 5000% in 2021 and quickly got listed in almost all the popular exchanges. Yet, trading with CoinDCX is pretty much simple yet secure than any other platform. The CoinDCX app offers a wide variety of crypto assets including, DOGE/BTC, DOGE/USDT, etc
Download the mobile app now and register following very few simple steps. To buy DOGE with your BTC, first fund your wallet with fiat and buy Bitcoin. Later one can swap their Bitcoin with DOGE selecting the DOGE/BTC trading pair.
With the beginning of the new year 2022, the App is getting upgraded with new and smooth features via CoinDCX Pro App! The update will be rolled out shortly which offers a new user experience, better discovery by integrating spot & margin, advanced technical charts, faster order placements, etc.
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