Will Recession Hinder $1 Rally in 2023?
Dogecoin Year End Predictions: Why experts think Dogecoin $1 Rally in 2023 is impossible?
Dogecoin Year End Predictions: Dogecoin’s early 2021 surge has left many investors and enthusiasts wondering whether the rally to $1 this year is feasible. According to Forbes, the meme-based asset achieved a new all-time high in the second week of May last year, of over $0.73 after recording a 95% over the following week. The price of Dogecoin is still too low, and most people are now wondering if it will ever hit $1. To put things into perspective, let’s look at Dogecoin’s current price and performance so far.
Dogecoin’s (DOGE) price action over the last 24 hours shows that the coin has been making lower lows at each peak. This could be seen as a symmetrical triangle pattern, which is typically a sign of consolidation before the price either breaks above or below the range.
At press time, DOGE price has dropped slightly to around $0.07524, down 0.83% in the last 24 hours. The near-term technical indicators suggest a possible pullback in the upcoming hours.
The relative strength index (RSI) is currently at 38.16, which indicates that DOGE is on the brink of forming a bearish divergence. The MACD has also started to move lower after reaching above zero.
Dogecoin Price Prediction: Dogecoin $1 Rally in 2023 seems impossible
The consensus is that Dogecoin is likely to do much better longer-term compared to 2022. Based on Dogecoin price prediction, DOGE is to trade at $0.30 by the end of 2022, $0.77 by 2025, and $1 by 2030.
While Dogecoin’s past price action is a factor to consider when analyzing its price potential, it is also essential to be aware of the market factors likely to play a role in its price action.
Understanding the factors that drive the price of Dogecoin can help answer the question, ‘Is Dogecoin a good investment?’
One of the most important factors likely to impact the price of Dogecoin going forward is Bitcoin. Bitcoin is the number one cryptocurrency and tends to pull the market in its overall direction. For context, other factors played a role in Dogecoin’s rally in 2020/21. For instance, Bitcoin’s rally from $20k to $64k had the most significant role. Proof of this is that Dogecoin had a correction after the Bitcoin bear run started in May 2021.
The other factor likely to play a role in Dogecoin’s price action going forward is Elon Musk. Musk has been one of the essential pillars of Dogecoin’s price action over the last two years. Besides his tweets creating excitement in the community, ELON has pushed hard for Dogecoin’s adoption. He has been leading from the front on Dogecoin adoption. His company, Tesla, now accepts Dogecoin for some of its merchandise.
Then there is the issue of cryptocurrency prices. Bitcoin and Ethereum are considered cryptocurrency blue chips. However, these two are now out of reach for many small investors. For instance, while someone can buy $100 worth of Bitcoin, the amount of BTC they get is negligible when you factor in fees.
For this reason, small investors have been looking into cheaper cryptocurrencies to buy now for maximum profits. Dogecoin is one of the cheapest, and with just $100, you can get a sizable portion of Dogecoins. You can also expect a significant ROI if the price hits some of the analysts’ long-term projections.
Another factor likely to play into Dogecoin’s value going into the future is its high levels of decentralization. If there is anything the Terra event has shown investors, it is that true decentralization is the way to go. Dogecoin happens to be one of the most decentralized cryptocurrencies out there. It is easy to mine, and hundreds of thousands of PC owners worldwide mine DOGE. This makes it a secure network, an attractive feature for long-term cryptocurrency investors.
It is also noteworthy that the Dogecoin community is on a growth trajectory. This is a big deal because as the community expands, so does awareness about Dogecoin. In future cryptocurrency hype cycles, Dogecoin is likely to draw in more new investors, which is good for its long-term price appreciation.