Why is Dogecoin Trending Again?
Dogecoin has quickly become one of the most-recognizable cryptocurrency coins around, thanks to its humorous image and welcoming community.
Bitcoin has experienced many hype-related price surges over the past several years, prompting more and more people to look into investing. It should be noted, however, that this coin can be susceptible to market manipulation and media announcements that cause its price to rapidly fluctuate.
1. It’s a popular coin
Dogecoin, which is based on the Shiba Inu dog meme, has made headlines again as of late. First introduced as a joke coin back in 2013 but remains immensely popular with social media users today, Dogecoin acts as an easy and peer-to-peer currency option that enables money transfers without using traditional banks and functions as peer-to-peer payment system.
One of the key factors determining a coin’s long-term success is its utility and practical applications, with Dogecoin serving as an exemplary case where its primary use case is tipping on social media platforms such as Reddit.
Dogecoin may only have limited use cases, yet its community remains very active on Reddit and has established numerous charitable initiatives using Dogecoin to aid those in need – this includes helping build water wells in Kenya and donating support to Jamaican bobsled teams.
Another key driver of Dogecoin’s growth has been social media influencers and celebrities endorsing it, including Elon Musk who has spoken highly of Dogecoin on multiple occasions – even tweeting out an endorsement quote about its superiority compared to Bitcoin!
For investors interested in Dogecoin investments, cryptocurrency exchanges provide the means of acquisition. You will first need to establish an account on said exchange and verify your identity before buying coins – most exchanges require you to submit scans of either your driver’s license or passport as proof.
After your bank account transfer has been verified, you can purchase Dogecoin on the exchange’s digital currency (DCE) trading platform.
Dogecoin prices tend to fluctuate rapidly depending on its popularity, often being driven by social media influencers and celebrities. This can result in sudden surges in its value that are potentially lucrative investments or trading strategies for investors and traders.
Dogecoin is an innovative internet currency with an appealing name and friendly community feel that has quickly become a mainstream alternative to popular currencies like Bitcoin. Accepted by numerous companies for goods and services – Tesla Motors and AMC Entertainment among them – Dogecoin could become an asset with steady returns over time.
2. It’s a popular meme
Dogecoin was launched as a parody of Bitcoin in 2013. The cryptocurrency is named and inspired by Shiba Inu meme. Early adoption and community support resulted in its rapid popularity growth.
Memes are viral social messages that spread rapidly across networks of people, engaging their audiences in an infectious way. Memes can be anything from hilarious or saddening to simply amusing or even profound – they provide us with an avenue for connecting with others as well as learning about new cultures and topics.
Dogecoin community members tend to be friendly, outgoing people with a great sense of humor – making the currency’s enthusiastic reception no surprise! Additionally, this coin boasts an outstanding sense of social responsibility; often supporting causes important to its members such as helping an Indian luger named Shiva Keshavan compete at Sochi Winter Olympic 2014. One such campaign was initiated through Dogecoin.
“Doge4Kids” is another initiative supported by Dogecoin supporters that raises funds for children with special needs, providing a fun way for people to give back to the community while simultaneously raising substantial amounts for numerous organizations.
Dogecoin can also be purchased and sold on digital currency exchanges with ease, with users being able to purchase and sell it using various currencies like Bitcoin, Ethereum and others.
While the crypto market is typically controlled by large institutions and corporations, trading apps have enabled small investors to feel more confident when investing in cryptocurrencies – leading them to increase both their investment and price of Dogecoin.
Dogecoin has recently experienced a resurgence. Its price has seen an over 25% spike, and experts predict this trend to continue over time.
However, Dogecoin isn’t the only meme-inspired cryptocurrency available; there are others like Shiba Inu and Big Eyes Coin (BIG) quickly growing in popularity as well. Still, Dogecoin remains an attractive option for investors in crypto markets.
3. It’s a profitable investment
Dogecoin has quickly become one of the most widely held cryptocurrencies due to its low price point and memetic appeal, yet also for a range of other reasons why it makes for a good investment.
Dogecoin is a decentralized cryptocurrency with no single point of failure, meaning it can be used for peer-to-peer transactions and allows fast payments.
Dogecoin transactions are fast and secure compared to Bitcoin transactions which may take up to 10 minutes to process, while its high liquidity makes buying or selling easier – providing another asset in your crypto stack without breaking the bank! Diversifying your portfolio by adding another cryptocurrency asset may provide significant returns without draining savings accounts or breaking budgets.
DOGE also features a built-in inflation mechanism, meaning that it increases in value as miners burn coins for mining. Many crypto investors value this feature and find that it helps preserve DOGE’s value even during times of scarcity.
On the downside, however, this means that Dogecoin’s supply is constantly expanding. This could present investors with issues as its value depreciates over time.
Keep in mind that cryptocurrency investments are extremely volatile, so before making a purchase you should always conduct thorough research to mitigate any losses that may incur. Otherwise, your savings could quickly vanish!
Even so, some crypto enthusiasts believe DOGE remains worth investing in as an attractive trading option. DOGE boasts an active community behind it which may ensure its prices continue to increase over time.
DOGE is supported by some of the most successful cryptocurrency investors worldwide, including Elon Musk. As such, DOGE has seen tremendous popularity growth over recent months.
To invest in Dogecoin, it is necessary to open an account at a crypto exchange. From here you can purchase, sell and swap cryptocurrencies like Dogecoin. Creating your account with a reliable cryptocurrency broker like Cryptopia may be the simplest way of getting started with investing.
4. It’s a safe investment
Before investing in Dogecoin, it’s important to carefully consider several key points. Of particular relevance are your portfolio’s risk tolerance and budget considerations as well as how much Dogecoin you can afford to commit.
There have been some cryptocurrency investments that have experienced rapid appreciation over time and become highly sought-after investments, but they remain highly unpredictable assets due to being unpredictable markets that cannot predict how they’ll respond to events in the near future. Therefore, they’re not suitable for investors with low risk tolerance.
When investing in cryptocurrency, it’s crucial to select those with the greatest potential for long-term growth and stability. Cryptocurrencies with strong community support tend to fare better over time.
Cryptocurrencies are digital assets that enable people to transfer funds without the need for a central financial institution, using blockchain technology for secure and anonymous transactions. Transactions are quick and hassle-free – providing people with an easy and fast way of sending funds worldwide.
One way to ensure you’re making a safe investment is to buy from trusted retailers, like Crypto Emporium which utilizes industry-leading security to keep transactions free from fraud and other forms of risk.
Be sure that you’re getting a fair deal by shopping around for reliable exchanges. These marketplaces connect buyers and sellers, and must abide by anti-money laundering (AML) or know your customer (KYC) rules.
Exchanges typically remain open 24 hours per day to facilitate the trade of Dogecoin, with popular options including Coinbase and Kraken being accessible at all hours of the day or night.
If you want to invest in cryptocurrency, the first step should be opening an account with an exchange. These companies will provide you with a wallet where you can store coins and other cryptocurrencies. They may also provide trading services or beginner-friendly investment apps.
Some exchanges offer credit card financing as an investment tool, though this approach can be risky as credit card companies typically add fees and higher APRs onto your total purchase cost.