More than 300 million people today own crypto. It’s the newest major form of investment to take off in modern history, and many people are getting into the fray. There are plenty of options available for investors looking to diversify their portfolios by beefing up their cryptocurrency wallet.
Dogecoin is an altcoin that has gotten plenty of notoriety over the years. What are the experts saying about it this year?
Having a Dogecoin prediction in your back pocket can help you invest wisely in 2023 and beyond. Here’s what the experts are saying about how the coin should fare this year.
Dogecoin Goes Where Musk Goes
Major shareholders, supporters, and influencers have more sway over the markets than ever. Elon Musk has long been an ardent supporter of Dogecoin and even goes so far as to call himself the Dogefather.
He’s willing to put his money where his mouth is, as his Space X mission will launch in January. The craft will have the distinction of being the first space vessel paid for with Dogecoin. Likewise, there have been rumblings of plans to use Dogecoin as a preferred payment option once crypto is integrated into Twitter, and the same could apply to Tesla vehicles.
He has the infrastructure to make Dogecoin a major player, and this could create trends throughout several other markets.
However, this cuts both ways, as Musk’s erratic online behavior has also been known to sway his investments in the opposite direction. His profile is only getting larger, so Dogecoin investors must have the stomach to go with the potential ebbs, flows, and unpredictability that Musk adds to an already volatile coin.
It’s important that you understand Dogecoin and how it works as a cryptocurrency. This way, whether you’re investing in a Dogecoin faucet or just want to buy a few coins and watch the market, you’re making informed decisions.
The Entire Crypto Market Will Need to Make a Comeback
No Dogecoin predictions can be made in a vacuum in 2023. You’ll always have to consider the rest of the crypto market. Cryptocurrency as a whole took a hit in 2022, so it’ll take a total rebound in 2023 to give Dogecoin a shot at surpassing the $1 mark.
The same market volatility that affects your faucet Bitcoin could also apply to Dogecoin value throughout 2023. Bull markets garner headlines, and this year will see plenty of eager investors champing at the bit to make back some money they lost during the pandemic.
There are plenty of options for people to buy Dogecoin and people are learning about it every day. Many people today play games to earn coins like Dogecoin and others. This is healthy for the crypto market, so time will tell whether it can rally or not.
It Depends on How the World Adapts to Crypto
You have to always take a global perspective when you think about investing today. Crypto will only get as large as the world embraces it.
Make sure that you’re keeping an eye on how other countries are adapting to crypto and implementing it into their infrastructure. Pay particularly close attention to large, advancing countries like China and India, and consider how it all will play into the geopolitical landscape.
Dogecoin Will Need to Upgrade Its Tech
For more people to invest in Dogecoin, the altcoin will need to upgrade its tech to continuously keep up with the times. The coins that will weather the storm are the ones that are the most useful. Right now, Dogecoin isn’t the most versatile coin out there, as it mainly serves as a way to make payments.
Other altcoins serve multiple uses among the blockchain, so Dogecoin will need to do the same if it hopes to keep catching on with new investors. They’re moving in the right direction with things like recent security and software upgrades.
Time will tell how the coin continues to compete and evolve in this area.
Inflation Is a Serious Factor
Due to Dogecoin becoming a meme coin, there have been lots of coins produced and acquired. When Dogecoin trading was at an all-time high, investors were buying billions of the coin.
Whenever too much production of any currency occurs, inflation is a byproduct. Expect inflation to play a role in the trajectory of Dogecoin in 2023 and beyond. Other coins are more structurally sound and have safeguards in place to prevent this. Inflation will need to be addressed if Dogecoin is to have any sort of rally this year.
There Will Be Plenty of Altcoin Competitors
Also, keep in mind that there are new crypto coins popping up seemingly every day. There are more than 21,000 cryptocurrencies today, and these numbers are rapidly growing. This means that competition will be fierce and will only keep growing.
Dogecoin will need to keep making itself valuable to hang with these competitors and surpass them.
The Economy as a Whole
Finally, keep in mind that the economy is in a state of flux right now and is attempting to rebuild post-pandemic. This takes a toll across the board, so make sure that you’re keeping an eye on all major investment markets.
They all have an effect on each other today, and the state of the economy will tell the story of how Dogecoin performs.
Factors That Affect Dogecoin Prediction
Every analyst has their Dogecoin prediction for 2023. Now that you know some factors that will shape these predictions, you can begin to draw your own conclusions. Keep doing your research, and make sure you do business with companies that can help.
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Comments by Cointiply Staff