Last Updated on April 1, 2023 by Bitfinsider
Following an impressive rally sparked by billionaire Elon Musk tweeting about the currency, Dogecoin (DOGE) gained notoriety during the 2021 bull market. The bear market has continued to rage, though, and the meme currency has since lost the majority of those gains. Dogecoin’s price is currently 90% below its May 2021 all-time high, raising the question of whether it will ever hit $0.7 once more.
One of the biggest cryptocurrencies in the market, Dogecoin is still going strong. However, the reality that it has an unlimited supply is concerning. There is nothing limiting the supply of the meme currency, unlike Bitcoin, whose supply is limited to 21 million, or Ethereum, which has allowed a burn mechanism to control supply.
In order to put this into context, it should be noted that the supply of DOGE is currently growing by approximately 5 billion coins annually. When there is no way to decrease the supply, this equates to an annual inflation rate of 4%, which is quite high.
The meme coin, on the other hand, is one that is solely propelled by hype, so its price movements tend to depend less on its tokenomics and more on how the community feels about it. Shiba Inus, whose total supply is in the billions, serve as an illustration of this and also enjoyed great success in the bull market of 2021.
Given that it still has backing from people like Elon Musk despite the bear market, the likelihood of DOGE recovering $0.7 is still strong. One of the biggest fast-food chains in the world, Burger King, has lately backed it, helping to raise its price.
Performance of DOGE price so far
The price of Dogecoin has thus far been correlated with the success of the overall cryptocurrency market. The majority of coins have experienced substantial price declines since their peak in 2021, and DOGE is no different. But more significantly, the meme currency keeps up with Bitcoin’s price trends. This implies that DOGE is probably going to rally along with bitcoin when it inevitably does.
March was a rollercoaster of a month for the meme currency on its own. The digital currency saw some gains at the middle of March, but the downtrend over the last two weeks has erased most of those gains, putting Dogecoin back in the red.
At the time of writing, DOGE’s price is $0.0843, down 0.97% from its previous close and down 0.88% from one week earlier. Despite performing better than some other big caps over the past week, DOGE was still one of the worst.
How to buy or trade DOGE on ProEX
You can buy or trade DOGE on ProEX. As ProEX frequently holds campaigns and events, you should check out its event page here to see if you can participate and win rewards as you trade.
On ProEX, you can trade DOGE as a spot pair (DOGE/USDT) in 3 simple steps:
- Sign up and register an account on ProEX
- Buy USDT via ProEX One-click Buy
- Trade DOGE/USDT at ProEX Spot
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Disclaimer: The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, legal, tax or other advice. Investing in or trading cryptocurrency or stocks comes with a risk of financial loss.
