This article was last updated on June 10, 2022
Even if you’ve never dabbled in the world of crypto, you’ve definitely heard about Dogecoin. It is the first and most popular memecoin on the market, at the moment. Many have doubted it over the years, but now people started taking it more seriously. This raises many questions about its price evaluation, including if Dogecoin can reach the price of $1.
And although Dogecoin is currently part of the top 20 cryptocurrencies by market cap, how long is it going to keep its position? Is there anything that sets it apart except the status of “the first”?
This is exactly what we will be discussing in this article. We will cover everything from what Dogecoin is and how it works to the catalysts that can potentially help it reach $1, and if it is ever going to reach $1 when it will be.
We will also briefly compare it to the Shiba Inu Coin – the next-level memecoin crypto project, which gains a lot of popularity, not only because of being a memecoin but because of its upcoming upgrades and ambitious roadmap.
Additionally, if you make up your mind and want to purchase Dogecoin, we’ve got a couple of guides showing you how to do so step by step.
How To Buy Dogecoin – Summary
Follow these steps to purchase DOGE:
- Find a crypto exchange that offers DOGE.
- Create an account.
- Fund your account.
- Choose an amount of DOGE and confirm the transaction.
- (Optional) Transfer DOGE to an external crypto wallet.
This is a summarized version of our in-depth guide, which you can find below.
Table of contents
What Is Dogecoin?
Dogecoin is an open-source crypto network originally created to be a fun version of Bitcoin. It is a fork of Lucky Coin, which in itself is a hard fork of Bitcoin. The project also has bits and pieces from Litecoin, so all in all, it is a mix of all of them.
The network came to life at the beginning of 2014 and immediately brought attention to itself. That’s mainly because it was the first “memecoin”, although nobody was calling them like that back in the days.
Dogecoin is a proof-of-work protocol but uses “Scrypt” technology. The Litecoin network was the first to use the technology, and it essentially is a mining algorithm. However, networks are avoiding Scrypto for one simple reason – it requires a lot of raw power and computation; thus, it is unsustainable.
One unique thing about Dogecoin is that you can mine it. Since there is no supply cap, you can mine as much as you want. There are two main ways in which you can mine Dogecoin – solo or in a mutual mining pool. Of course, there is a better reward for going solo, but you will be getting more consistent rewards by joining a group. If you are a part of a mining pool, you will also use less computation than solo.
As you might already know, Elon Musk posted multiple tweets stating Dogecoin is his favorite crypto and the people’s crypto. Since then, the price of Dogecoin and its popularity surged quite a lot.
The network also has its own dedicated crypto wallet, which can be downloaded through the official website.
Overall, Dogecoin doesn’t have much going around at the moment, especially when compared to other memecoin networks like Shiba Inu Coin, which has a whole ecosystem and is looking to expand its utility.
Catalysts For Dogecoin To Reach $1
Every cryptocurrency and its network need catalysts in order to grow. To give a quick example, we can look at Ethereum. We are getting closer to the launch of Ethereum 2.0 by the day. It supposedly offers completely new technology that will change the crypto network forever.
For other cryptocurrencies, that is the utility of the token itself. You can use them for staking, which can then bring you passive rewards. What we are trying to say here is that every crypto that is growing needs some sort of a catalyst; otherwise, it will stagnate sooner or later.
One of the main uses for Dogecoin nowadays is tipping. That’s what it began doing a little after its official launch. Not long ago, the developers decided to reduce the transaction fees in order to incentivize bigger tipping, whether it is on Reddit or another website.
Dogecoin has a couple of upgrades coming in the near future. There is no official release date for any of them, but let’s quickly observe the upcoming changes. However, these are quite important if we ever want to see Dogecoin reach a price of $1.
Dogecoin.com & Dogepedia
Since Dogecoin is mostly pushed by volunteers, this includes the update of the website. They are aiming to make sure the website provides more information for everyone interested. For example, they plan on bringing more useful links, information on projects in-progress, etc.
The Dogepedia will be a simple Q&A and FAQ section on the website that will ensure you are well-informed. A couple of enthusiastic individuals are compiling the questions and answers, making sure no information is excluded.
Libdogecoin
This one’s been in the works for quite some time now. It is also something that the community’s been waiting for.
The Libdogecoin is essentially an implementation of all Dogecoin Protocols in the form of a C library that aims to enable any developer to build a Dogecoin-compliant product. Without getting into great detail, you can look at this as bringing utility to the network.
Developers will be able to create apps such as a new Dogecoin wallet in a different language (Python, Node.js, Ruby, etc.).
If that feeds your interest, we suggest checking the dedicated section for Libdogecoin on the official website.
Other Upgrades
We can expect to see the Dogecoin Standard, which will allow developers to learn how to operate within and with the network. This includes how to create different applications that they can then use to bring further utility to the project.
And finally, as part of the current roadmap, we’ve got the GigaWallet. It is a wallet that one can integrate into their website in minutes. This will be possible because of the API the network will provide. The GigaWallet will be quite a useful update because it will help people utilize the “tipping” mechanic of Dogecoin, which it is so famous for.
When Will Dogecoin Reach $1
Now that we discussed catalysts, the next thing is to explore the possibility of Dogecoin reaching a price evaluation of $1. Hypothetically, if Dogecoin reaches $1, a couple of things will happen. Since we have a non-disclosed token supply, things are a bit more complicated.
Usually, when a token such as Dogecoin is looking to hit a price point of $1, one of two things must happen. If it is high on the market cap leaderboard (currently #12), it needs to reduce the total supply in order to increase the current price. The second option is to simply be adopted more.
However, the second option is somewhat unlikely with Dogecoin since it already is at number 12 by market cap. That situation is usually for tokens that have yet to blow up.
In order for Dogecoin to reach $1, it needs to grow more than 7x times. With its current live market cap of about $18 billion, that means it will need to reach a new market cap height of more than $300 billion. Put in perspective, Ethereum has a market cap of almost $400 billion and is in 2nd place. The third crypto by market cap is Tether, with $80 billion.
As you can see, that means that Dogecoin will need to be worth almost as much as Ethereum, which, if we are being realistic, is nearly impossible.
With an all-time high of $0.73, Dogecoin actually came quite close to the $1 mark.
If we see an overall bull market over the next couple of years and everything goes according to plan for the team behind Dogecoin, then we can definitely expect it to hit $1. However, that moment is almost certainly not going to be this year, although the token can potentially see a new all-time high.
Is Dogecoin Better Than Shiba Inu Coin
Many are comparing Dogecoin with the Shiba Inu Coin. Both projects are the pinnacle of memecoins. They are well-known even by those that do not dabble in the crypto industry. There’s a lot of discussion about whether Shiba Inu is the one that will dethrone Dogecoin. Actually, Shiba Inu is currently at #15 by market cap, only $4 billion behind Dogecoin, so that’s not too far away from potentially happening.
When comparing two cryptocurrencies, we must ensure they are part of the same niche, first of all. Since they own the status of memecoins, we can agree that they are. However, both projects focus their utilities on different things.
As we already know, the main purpose of Dogecoin is to be a tipping cryptocurrency for use on Reddit, Twitter, and other forums.
Shiba Inu Coin, however, has a lot more utility and upcoming upgrades than Dogecoin. This includes an upcoming Metaverse project, which people speculate is a game. The game is going to use a Shiba Inu NFT collection, which you can already start purchasing. Its ecosystem already has a decentralized exchange (DEX) and Doggy DAO, which is the first step to allowing the community to take control over the network.
There are many more catalysts that we explore in our dedicated article about Shiba Inu Coin and why we believe it will surpass Dogecoin. If you want an example, you can look at the two as Bitcoin and Ethereum. One is popular solely because of its status and because it created cryptocurrencies, while the other is full of utility.
Overall, in terms of utility Shiba Inu is definitely in the lead, but because of the first-ever memecoin status, Dogecoin will probably keep the lead by market cap for a little longer.
Is Investing In Dogecoin Worth It?
The most important question people ask themselves is whether or not Dogecoin is worth investing in. Well, there are many factors that come into play when deciding on such a thing. These include the potential of the network, its token’s utility, future plans, and developers, but not only. External factors can also affect the worthiness of a cryptocurrency, such as the current political issues in eastern Europe.
However, as we always say, the most important factor is whether you believe in the essence of the network or not. If you think Dogecoin is a network with a good cause and that it will keep expanding adoption, then is there really a reason for it to be missing from your portfolio?
We should note that it is probably not a good thought process to linger on the idea of Dogecoin reaching $1. Not that it is impossible, but rather that is somewhat unlikely.
Although we believe Shiba Inu Coin to be the superior memecoin for many reasons, Dogecoin is not going away anytime soon. It only takes one Elon Musk tweet for DOGE to go on a rampage.
How To Buy Dogecoin – In-Depth
Buying Dogecoin nowadays is easier than ever before. Even though we will be going into detail, the guide will remain simple and easy to follow. These are the steps you need to take to buy Dogecoin:
- Find a crypto exchange (CEX) that offers Dogecoin.
Before anything else, you will need to find a crypto exchange platform that offers DOGE. However, this is actually quite easy, as DOGE is one of the biggest cryptocurrencies on the market right now. This means that most major CEXs have DOGE listed, including Binance, Coinbase, eToro, KuCoin, FTX, etc. - Create an account with the CEX.
Now that you’ve chosen your CEX, you can create an account. Although it is simple to do so, there are some details that cannot be overlooked. You will need to provide the required documents (each CEX asks for different documents) to prove your identity. This process can take up to 5 business days, although most platforms approve your details within a single day. - Link a card to your account.
This is a really important part that should not be overlooked. Although you can also directly purchase an asset without adding funds, this method of buying crypto is faster and ensures you will be purchasing a token at the price you see, without much slippage. Most CEXs have a minimum amount you can add, but that is usually no more than $20-$30. - Buy DOGE.
Once you’ve funded your account, it is time to purchase DOGE. You can do that in one of two ways. You can either select an amount of DOGE you want to buy (i.e., 10 DOGE for $1.40), or you can select an amount of fiat currency you wish to exchange for DOGE (i.e., $100 for 714 DOGE). Verify the transaction, and the amount of DOGE will be added to your integrated crypto wallet. - (Optional) Transfer DOGE to an external crypto wallet.
Although your DOGE will be saved on the platform’s integrated wallet, it is more secure to transfer it to an external crypto wallet. This is because a platform can freeze your integrated wallet whenever they want, for whatever reason. The same cannot be done on a private crypto wallet, where you are the one who keeps the private key. If you don’t have such a wallet yet, we suggest checking out the popular Metamask, as it is quite easy to set up.
This concludes our guide on how to purchase DOGE. Although it might look a bit difficult, it is actually quite easy once you’ve made your first transaction.
How To Buy Dogecoin – eToro
Becoming an owner of any cryptocurrency is particularly easy on eToro. All required steps are easy to follow, and the navigation of the platform is as well. Take a look at these four simple steps to see how it’s done:
- Create Your Account – Before buying any DOGE, you will need to have an account. Creating one is quite easy. However, you will also need to prove your identity by providing the required documents. This process can take up to a couple of days, although it usually takes no longer than 24 hours.
- Link a Card – Now that your identity has been approved, it is time to attach your credit or debit card to your account. This will make it easy to purchase an asset on eToro, whenever you want.
- Add Funds – Once you attach your card, you can now add funds to your account’s balance. This step is not necessary, but it will make purchasing assets way faster than paying for the asset directly.
- Buy DOGE – Finally, you will need to select the amount of Dogecoin you want to buy or the amount of fiat currency you wish to exchange for Dogecoin. Confirm the transaction.
Following these simple steps will ensure you are going to be a proud owner of Dogecoin. All assets will be stored directly on-platform in the integrated eToro wallet.
Closing Thoughts
As the first and most popular memecoin, Dogecoin will definitely keep the memethrone for some time. Although Shiba Inu Coin is right behind it, there still is a $4 billion market cap gap between the two. But enough about comparisons.
Up until recently, Dogecoin was mostly a memecoin with no utility, but recently, in Q4 of 2021, the team behind it decided to make a change. This included developing a roadmap that introduces many upcoming features. In this case, we referred to them as catalysts because they will definitely impact the price evaluation of Dogecoin.
If we look at statistics, then there is no reason for us to believe Dogecoin will not reach $1. However, although we are positive it will do at some point, we cannot exactly pinpoint a timeframe. We strongly believe that this goal will most likely not be achieved during 2022. Of course, there are many factors that can positively affect the crypto market, which will help Dogecoin, but we can only speculate.
That’s the case with most memecoins nowadays. Speculation is the top driving force for these. For example, Poocoin gained a lot of popularity in recent months across Reddit mostly, but it also significantly dropped in price due to lack of utility.
Finally, it is up to you to decide whether Dogecoin will be worth it or not. The ecosystem and token certainly will have a lot more utility in the upcoming years, and there is a reason it doesn’t leave the top 15 cryptocurrencies by market cap. Most of all, we believe having trust and understanding of the project are the most important factors, but that is highly subjective as well.
