Dogecoin is experiencing somewhat of a resurgence as of lately. Sitting at $0,002409/38 satoshi just a couple of weeks ago, it managed to break out in a short period of time and reach monthly high of $0,004314/58 satoshi before shifting into a more horizontal pattern of movement. Ever since we saw the price fluctuate around the values of $0,0034, with the BTC value managing to stay just above 40 satoshi. The coin is currently valued at $0,003368, which is a drop of 5,74% in the last 24 hours. DOGE/BTC currently sits at 41 satoshi, which is a 6,60% drop in the mentioned timeframe. With a market cap of $388,701,485, Dogecoin is currently the 35th most valuable cryptocurrency in the world, tucked in just above Steem and below Maker at 34th.
Probably the most important update regarding Dogecoin was its recent listing on the Robinhood exchange. The exchange had only 4 coins (BTC, ETH, LTC, BCH) as a part of its portfolio before listing Dogecoin, and this made people wonder why they would choose Dogecoin in the sea of objectively better cryptocurrencies. This can be explained if we take a closer look at Robinhood’s mission. As they are a young exchange, they need a way of establishing themselves as a legitimate competitor on the market. Therefore they are seemingly putting a premium on accessibility and activity, both of which can be attributed to Dogecoin. @ArminVanBitcoin recently tweeted:
“#dogecoin now has 3X more transactions than #bcash. #fail”
Experts feel that a simple currency like Dogecoin might be less intimidating to newbie investors who don’t want to own “parts” of Bitcoin but would rather have a whole rounded amount of a single cryptocurrency. As there are 115 billion Dogecoins in circulation (making DOGE the 5th most circulated coin on the market), there are plenty of coins to go around. Dogecoin has a good marketing potential, as they’ve cleverly sponsored various high profile events in the past which brought them increased adoption. Meme or not, people want to own Dogecoin.
So many forks – what is Bitcoin Gold? And what is Bitcoin Cash? Then again, there is bitcoin diamond. And bitcoin atom. And Super BTC. And some others we didn’t cover since they are not worth mentioning. And most recent one that actually seems legit – Bitcoin private BTCP.
Dogecoin has been doing its best to prove to everyone that it’s more than just a meme Bitcoin clone. With its decentralized, minable, Bitcoin-like approach it’s currently standing out from the sea of pre-minted currencies that are more centralized than their holders would like to admit. Another thing which differentiates Doge is the fact that it’s an inflatory currency, with its supply rising 5% every year. Inflatory currencies encourage people to spend them; this kickstarts the coin’s economy and creates additional demand, thus negating the negative price effects that the increase of supply causes. As such, Dogecoin is an improvement on coins with steady/reducing supplies which encourage hoarding.
The mentioned spending should be increased as a platform called BitRefill now allows its users to purchase Amazon gift cards with their cryptocurrencies. BitRefill’s new service supports several currencies, including Bitcoin, Litecoin, Ethereum, Dash, and Dogecoin. The service is currently available in US/Germany, but the company is looking to expand the range of offered countries. Also a game called DogeRacer is apparently in development and it will apparently have a built-in cryptocurrency marketplace. While the game looks unimpressive at the moment, it’s still in early development so it will be interesting to see where the project goes from here. At least it’s not another CryptoKitties clone, eh?
We will see what the future has in store for Dogecoin but it’s safe to say that its holders can be cautiously optimistic.
CaptainAltcoin’s writers and guest post authors may or may not have a vested interest in any of the mentioned projects and businesses. None of the content on CaptainAltcoin is investment advice nor is it a replacement for advice from a certified financial planner.