In 2013, Dogecoin began as a joke. Soon after its initial release, it added new use cases, such as charities and online tipping. The coin’s performance was insignificant over time. However, it began to show massive growth potential in 2020. Within a year, it had grown to become the largest meme coin and was effectively ranked among the top ten cryptocurrencies in terms of market capitalization.
Without a doubt, 2021 was the best year for dogecoin thus far. It was worth US$0.007 in January and reached an all-time high of US$0.7381 in May. However, it has lost roughly 70% of its value and was worth US$0.1715 at the end of 2021. Regardless, the meme coin has risen dramatically since the beginning of the year.
Dogecoin’s bullish run was mirrored by Bitcoin’s. External factors, particularly key opinion leaders (KOLs) and influencers, played a significant role in the spread of value. Tweets from Elon Musk and Snoop Dog, two of the most influential KOLs, for example, influenced the growth of the Doge community. The crypto coin currently has a large following on Twitter and Reddit.
So, what does the future hold for Dogecoin? It is expected to grow further in 2022, thanks to institutional adoption and retailer acceptance. Tesla has proposed accepting DOGE as a form of payment. Investors such as Mark Cuban have made significant investments in Dogecoin; the investor owns the Dallas Mavericks, which accept Dogecoin for tickets and merchandise.Some members of the community suggest using the meme coins to buy hot tubs. The price of dogecoin is expected to skyrocket as the number of users grows.
Dogecoin Price Forecasts for 2022
Q1 and Q2 Predictions
DOGE will begin trading at US$0.233447 in 2022, according to cryptopredictions.com’s DOGE forecasts for 2022. The forecasted minimum price for the first quarter is 0.198430. Price growth is expected to accelerate in February, with a monthly average of US$0.234112 expected. Dogecoin is expected to end the first quarter with a maximum value of US$0.293125.
The predicted average price in April for the second quarter is US$0.234677. According to the site’s predictions, Dogecoin will reach a maximum price of US$0.292728. The price will average US$0.234182 in June.
Q3 and Q4 Price Predictions
The algorithm at Crypto Predictions predicts that Dogecoin will fall slightly in July, with the expected maximum price falling to US$0.291856. Similarly, in August, the average price will fall to US$0.232411. Finally, in September, the maximum price will fall to US$0.286380.
In the fourth quarter, the price is expected to fall even further. According to the site’s forecast, Dogecoin will trade at a maximum price of US$0.286380 in October and a maximum price of US$0.279832 at the end of the year. However, TradingBeasts, another site that provides dogecoin forecasts, is less optimistic and predicts an average price of US$0.221 in Q4.
Because of its satirical nature, Dogecoin has become one of the most popular meme coins. Elon Musk and Mark Cuban’s endorsements have only fueled its widespread popularity. The coin is used as a payment method with low transaction costs. According to Cryptwerk data, over 1900 merchants currently accept dogecoin as payment. Its tipping service is a one-of-a-kind use case, which makes it even more appealing to the Dogecoin community. Users can use the service to send quick gifts to other Reddit and Twitter users.
Despite the above-mentioned applications, Dogecoin has a low utility. Its growth will be heavily influenced by whether influential figures continue to support the meme coin. A tweet from Elon Musk in the new year could cause the dogecoin price to skyrocket at the start of 2022. Other notable supporters, such as Gene Simmmons, will have a significant impact on how the dog-themed coin performs in 2022.
In 2022, the dogecoin community will also have an impact on the price of DOGE. The digital coin currently has over 4.5 million followers on Reddit and Twitter combined. Furthermore, its listing on Etoro had significantly increased its user reach.
Dogecoin’s growth, like that of other meme coins, will be heavily reliant on media attention and hype because it lacks a solid foundation.
The good news is that the Dogecoin Foundation has released a roadmap outlining the 2022 project that will increase the currency’s utility. The goal of this strategy is to make DOGE useful and increase its adoption through utility. The foundation provides examples such as paying rent and purchasing coffee. They intend to make DOGE a universal coin by focusing on payments.
The Gigawallet project is another recent development. Developers will be able to add doge transactions to their platforms thanks to the API solution. DOGE also intends to implement community staking, which will aid in the transition of the coin ecosystem from Proof of Work (POW) to Proof of Stake (POS).
This is an intriguing development. Elon Musk plans to launch a space mission funded by dogecoin in the first quarter of 2022. With all of these developments, Dogecoin is likely to resume its upward trend. If it breaks through the current all-time high, the next target is US$1.
Bears have taken control of the market since it reached an all-time high in May. The market is currently oscillating in the zone of recent support. It has also been unable to break above a resistance level. The chart below depicts DOGE ranges within this level.
The price must break above the resistance level of US$0.1900, which was previously a support level. If it breaks through this zone and retests it, it will be set for a bullish run.
Dogecoin retests Fibonacci retracement levels in this chart. The price reaches 31.8 percent retracement levels and then reverses. If the bullish trend continues, the next stop is $0.24400 at the 50% retracement level or US$0.2600 at the 61.8 percent level.
During the bearish run, the Dogecoin price has followed a descending channel. It has, however, broken above the channel and is testing the upper channel line, which will act as support. If the price does not break below this support line, the bullish trend will resume.
According to this technical analysis, the DOGE is likely to rise. The market is now waiting for news events that will set off the bullish run, such as a tweet from Elon Musk.
Final Words on our DOGE predictions for 2022
Dogecoin was the first meme coin, and it has a huge fan base. It rose and reached new highs in 2021 during Covid- 19 Pandemic as a result of endorsements from Mark Cuban, Elon Musk, and Snoop Dog. However, it lost the majority of its value by the end of 2021 and is now trading in a sector of interest. The coin is unlikely to fall any further. The Dogecoin Foundation has planned new projects that will increase its utility and, eventually, its value. If the bulls regain market control, we could see DOGE reach a new market high of US$1. However, this will be determined by the success of DOGE projects and, to some extent, whether or not Elon Musk tweets about Doge.
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