Why Dogecoin Could Be A Smart Investment For Indians In 2024?

Bitcoin and Ethereum are usually the top choices of crypto investors and traders, but there’s another crypto in the memecoin category that gives competition to the OGs. Also, it took the crypto space by storm in 2021. Any guesses?

Yes, we are talking about DOGECOIN (DOGE), which was launched in 2013. In 2021, it reached its all-time high and made history in the crypto space. Elon Musk played a critical role in its popularity, which is an undeniable fact.

Being a memecoin, it is obvious that the crypto tends to be highly volatile and speculative in nature. But, in this article, we’ll have a brief overview of Dogecoin and why it could be a smart investment for Indians in 2024.

Let’s begin!

About Dogecoin

Dogecoin is the first memecoin. Launched in 2013, it is now a decade old and enjoys significant popularity among crypto enthusiasts. It is currently the 8th largest crypto by market capitalization.

Dogecoin is basically an open-source, peer-to-peer crypto created as a lighthearted alternative to pioneering cryptos such as Bitcoin and Ethereum. In 2013, IBM software developer Billy Markus and Adobe programmer Jackson Palmer collaborated to create it. It’s an altcoin that began as a joke but has gathered a lot of traction in the last few years.

The project’s source code draws inspiration from projects like Litecoin and Lucky Coin. Transactions conducted with Dogecoin undergo verification through a process known as mining, with records stored on a publicly accessible ledger. Importantly, Dogecoin supply remains unrestricted, with approximately 10,000 new tokens generated every minute.

What is the Value of a Dogecoin?

At the time of writing, Dogecoin is trading at INR 11.7300 at WazirX.

Dogecoin Price History

Dogecoin’s price remained relatively stable for seven years, from December 2013 to December 2020.

In January 2014, Dogecoin’s trading volume briefly surpassed that of Bitcoin and all other cryptos combined.

On May 6, 2015, Dogecoin hit its lowest price since its inception, briefly reaching $0.0000869.

In early 2018, Dogecoin’s price briefly rose but soon declined, mirroring the overall crypto market collapse following the Bitcoin crash, known as the 2018 crypto crash.

In January 2021, Dogecoin’s value surged by about 339% to $0.032642 after tweets by Elon Musk on January 28 and 29.

On May 8, 2021, Dogecoin reached its highest price since its launch, peaking briefly at $0.682.

4 Key Reasons Why DOGE Could Be a Smart Investment

#1 Volatility:

The foremost factor to note is Dogecoin’s significant volatility. Dogecoin has become popular and attracts investors rapidly, so its price tends to fluctuate. One popular instance could be one tweet by Elon Musk, which could shoot up DOGE’s price.

#2 Influencers:

Influential individuals can impact stocks and cryptos. Elon Musk, often called the “Dogefather” and “Dogecoin CEO” by the community, has frequently tweeted about the coin, leading to substantial price surges. However, if a single person holds such influence over Dogecoin’s pricing, it introduces uncertainty regarding its future trajectory.

#3 FOMO and Public Influence:

With Dogecoin generating buzz across the internet and everyone discussing investment opportunities now and then, there is a risk of succumbing to the Fear Of Missing Out (FOMO) on a potentially lucrative investment. However, it is crucial to remember that not everyone achieves the same success as a few Redditors who became millionaires by investing their life savings in a trend.

With proper research of price movements and studying the technical indicators, one can make a smart investment choice for Dogecoin.

#4 Understanding its Intrinsic Value:

Assessing the actual value of a digital asset like Dogecoin can be challenging and time-consuming, if not impossible. For most assets, you can examine metrics like the price-to-earnings ratio to determine the price investors are willing to pay for each dollar of earnings a business generates.

Dogecoin Price Prediction for 2025

According to CoinCodex, Dogecoin’s price in 2025 is predicted to range between $0.106937 and $0.543979. If Dogecoin reaches the upper end of this prediction, it could increase by 339.17% compared to today’s price. This suggests significant potential growth, though the lower end indicates more modest gains.

Changelly’s analysis of Dogecoin’s past prices predicts a minimum price of $0.2968 and a maximum price of $0.3448 for 2025. On average, the trading price is expected to be around $0.3051. These figures suggest steady growth, reflecting a positive but moderate increase in Dogecoin’s value.

Techopedia forecasts a generally positive trend for Dogecoin in 2025, though it does not anticipate new all-time highs. The price prediction includes a maximum of $0.55, a minimum of $0.16, and an average of $0.3 by the end of the year. This outlook indicates a stable yet restrained growth trajectory.

Does Dogecoin Have Utility? What Does the Future Hold?

Is investing in Dogecoin wise? Is crypto safe overall? These are common questions among crypto enthusiasts today.

Dogecoin started as a joke and was initially considered to have no utility. However, it has since gained broader acceptance as a payment method. Third-party payment processors like BitPay and Coinbase have integrated Dogecoin, allowing users to transact with DOGE for goods and services. Several prepaid card companies also accept DOGE, enhancing its everyday utility.

Dogecoin’s acceptance has expanded to well-known brands and online retailers such as Gamestop, Airbnb, AirBaltic, Gucci, and Tesla. This widespread adoption strengthens Dogecoin’s status as a viable digital currency for mainstream transactions.

Elon Musk has applied for Twitter to be recognized as a money service firm, indicating X’s potential entry into the payments industry. This could enable X users to send digital money to others, facilitating peer-to-peer transactions directly on the platform. If users can withdraw funds to verified bank accounts, creators might monetize their content and earn income via the platform.

Musk has also hinted at the possibility of users receiving high-yield money market accounts, incentivizing deposits with Twitter. This move could further integrate X and potentially Dogecoin into the broader financial ecosystem, extending its role beyond social media.

Is Dogecoin a Good Investment in 2024?

Some market commentators view Dogecoin as a short-term speculative asset, with investors capitalizing on price fluctuations. Despite this, Dogecoin remains one of the top ten cryptocurrencies and is increasingly being adopted.

As noted earlier, many experts are optimistic about Dogecoin’s future, suggesting it might be a valuable long-term investment. Investors might also consider diversifying their portfolios and allocating only small amounts to cryptocurrencies to mitigate risk.

Where to Buy Dogecoin?

Choosing a trusted crypto exchange like WazirX is always advisable when considering buying Dogecoin as a smart investment in 2024.

Disclaimer: Cryptocurrency is not a legal tender and is currently unregulated. Kindly ensure that you undertake sufficient risk assessment when trading cryptocurrencies as they are often subject to high price volatility. The information provided in this section doesn't represent any investment advice or WazirX's official position. WazirX reserves the right in its sole discretion to amend or change this blog post at any time and for any reasons without prior notice.