Can Dogecoin Reach $100 and Prove the Naysayers Wrong?

The rise of Dogecoin has been anything but conventional. But can Dogecoin reach $100? In this article, I am going to fully explore this angle and break the numbers down.

ok, let’s get into the nitty-gritty and see what it would take for Dogecoin to reach 100 bucks.

What does Dogecoin reaching $100 actually mean

Dimension numero uno: Market cap vs price.

One of the key reasons that Dogecoin became so popular is that each coin is very cheap. Extremely cheap. Even today, when Dogecoin is in the top 10 cryptocurrencies by market cap it still only costs only 7 cents to buy. So it looks very affordable, right?

But the thing is that Dogecoin’s creators have played a clever trick on you.

To understand this, let’s talk about pizza. What about it?

We all like pizza right?

So, say you have two pizzas. The first is an original Italian pizza from Naples, Italy. Your beautiful pizza is cooked in a wood-fired oven at 800 degrees and cut into 8 delicious slices. Because this is a premium pizza each slice costs $5.

Mmmm so yummy.

Now imagine a random guy coming along and delivering you a pizza that looks like a joke. First of all, it’s got a dog painted on it. Secondly, it tastes terrible. And third, it’s cut into 100 pieces each costing 1 cent.

It started off as a joke

In the beginning, everyone laughs at the joke. “What a ridiculous pizza”, they say. But then the dog becomes a meme. People like the funny “doge” jokes. Also, they find that this pizza is much less arrogant than all the other pizzas. While true connoisseurs are outraged that someone would want to eat a dog-themed pizza, Gen-Z doesn’t care. They’re not buying the pizza for its taste (which we said tastes horrible). And they like the fact that they can own a piece of the pizza (got it?). After all, it only costs one cent instead of five dollars.

But there is a little problemo here.

The Neapolitan pizza is truly a work of art.

And the Doge-pizza is of poor quality.

But people have the perception they will be able to sell dog-themes slices for more. It could go to $5 right? OMG, that’s 500x if it happens.

ok enough with the pizza analogy. Let’s talk about market cap.

Is it even possible for Dogecoin to hit $100?

If the coin is a slice then the market cap is the pizza. Dogecoin has a circulating supply of 132,670,764,300 coins. Multiply this by Dogecoin’s price, which stands at around $0.07, and you get a market capitalization of $9,843,752,232.

People that is $9Bn!

NINE BILLION US DOLLARS!!!

For a joke.

This is a meme coin that doesn’t do anything. It started off as a laugh and the strongest argument against what I just wrote is to say:

-“Oh yes it does”

-“No, it doesn’t”

-“Does”

-“Doesn’t”

And so on.

Let’s not go down that alley. Instead, let’s look at what the world would look like if Dogecoin were to reach $100.

First off, that is a 100/0.07 = 1428 x in price. That implies a market cap of $14,056,878,187,296.

That’s 14 Trillion dollars.

For context, the current market cap of bitcoin is $500Bn. At its peak, it was $1.1 Trillion.

At its peak, Apple, the most valuable company in the world, was worth $3 Trillion.

Let’s look at the size of some economies according to global GDP data from the World Bank.

Ahem! So, for Dogecoin to reach $100 it would need to become the size of China. I don’t know how long a joke can be prolonged but it is extremely highly unlikely that Dogecoin could become that big.

But just to be sure. Let’s say Dogecoin replaces the US Dollar. According to Wikipedia, in 2021, there were $2.05 trillion dollars in circulation. So Dogecoin would not only have to overtake the US dollar but other currencies as well. But the total value of all currencies in circulation globally is $8 Trillion. If you include deposits it’s $48 Trillion. So there really isn’t enough money to buy it in the first place. Or put another way currencies globally would have to hyper-inflate against Dogecoin for it to hit 100 dollars.

Dimension numero duo: it’s a crappy coin

Here are some of the problems with Dogecoin

1. Lack of a clear use case: While Dogecoin has gained popularity, there is no clear use case for the cryptocurrency beyond being a store of value or a way to tip content creators on social media.
2. Inflationary supply: Unlike Bitcoin, which has a fixed supply cap of 21 million coins, Dogecoin has an inflationary supply, with 5 billion new coins minted each year. That’s about 4% inflation per year. So the store of value argument breaks down as printing more Dogecoin only dilutes its value further.
3. The concentration of wealth: Dogecoin ownership is concentrated among a relatively small number of investors. While with bitcoin there are about 10,000 people who own 1/3 of its total supply, with Dogecoin there are approximately 500 people who control 85% of the supply.
4. Lack of development: Despite its popularity, Dogecoin has relatively little development activity compared to other cryptocurrencies, which could limit its long-term potential.
5. Dependency on social media: Dogecoin’s popularity is largely driven by social media and what cult personalities like Elon Musk tweet. This is a big vulnerability if sentiment around the currency changes.

The Final Verdict: Can Dogecoin Reach $100?

Hell no! There isn’t a chance in a million trillion that Dogecoin will reach that value with the current amount of circulating Dogecoin in place.

The only way this could happen is if the US dollar hyperinflates.

Ok, so if Dogecoin can’t go to $100 how high can it go?

To find out, let’s do a quick round-up of what others think.

Dogecoin Price Prediction

I am going to sum up what some of the most popular prediction websites think about Dogecoin’s future.

Before I do that let’s take a quick look at Dogecoin’s history

Dogecoin price history

Dogecoin launched in December 2013. As you can see in the graph nothing much happened for the next few years.

It was only after the crypto market crashed in early 2018 that Dogecoin’s market cap increased from about $10-20Mn to more than $500Mn after 2018. But the real rally started in 2021 when the crypto bull run had started and when Elon Musk endorsed Dogecoin in his tweets.

See those two spikes in early 2021? Those occurred just after Elon Musk tweeted positively about Dogecoin. I remember because in late March my mum gave me 100 bucks for my birthday and I bought Dogecoin for a laugh. It went on to 10x over the next month. The price of Dogecoin went from $0.05 to an all-time high of $0.56. Its market cap from $7Bn to $70Bn within one month.

Can you imagine?

Elon Musk causes peak frenzy

A key landmark that led up to the price peaking was Elon Musk’s appearance on Saturday Night Live.

Many traders bought the coin due to the hype around the event and the possibility that Musk might promote Dogecoin on the show which indeed he did.

Shortly after, the price came back down to above $0.2 as people cashed in on their profits. So still a massive gain if you had bought it early.

However, as the world macroeconomic situation changed and we started to enter a bear market (more about that here) dogecoin too started to tumble. Post November 2021 the coin has seen a steady decline back to its pre-rally level at $0.07.

If it were to reach its historical maximum value in the long run that would be another 10x. However, there is nothing to guarantee this will happen.

So let’s take a look at what others think about where Dogecoin might be heading

Dogecoin Price Forecast Roundup of Crypto Experts

1. Ambcrypto on whether Dogecoin can reach $100

Ambcrypto reports that the Dogecoin community is optimistic that the cryptocurrency will end March 2023 with a significant increase in its current price despite recording losses on multiple charts.

In 2022, DOGE/USD performed poorly except for when Elon Musk acquired Twitter, which raised hopes in the Dogecoin community about increased cryptocurrency usage.

Although the FTX saga was particularly bad for DOGE, which reached its highest price since the first crypto crash in May 2022, it remains the 10th largest cryptocurrency by market capitalization and the second-largest Proof-of-Work (PoW) cryptocurrency after Bitcoin.

Despite criticisms of the cryptocurrency, its core fan base and online communities continue to support it. Ambcrypto predicts Dogecoin’s future price is predicted to be between $0.23 and $2.59 by 2025.

Their price target for 2030 is a low price of $0.30 and a maximum price of $0.80. Despite their optimistic outlook that is nowhere near $100.

2. Coincodex: Dogecoin is nowhere near $100

In terms of Dogecoin price predictions, the analysis from coincodex.com shows that in the best-case scenario, the DOGE price prediction for 2026 is $1.648091 if it follows Facebook growth.

However, in case Dogecoin would follow Internet growth, the prediction for 2026 would be $0.189062.

Based on Coincodex’s outlook, the general sentiment for Dogecoin is bearish. The technical analysis shows that the Dogecoin price is currently trading below the 50-day and 200-day simple moving averages (SMA), with both indicators signaling sell.

The 200-day moving average is expected to rise in the next month and reach $0.080901 by April 21, 2023, while the short-term 50-day moving average is estimated to hit $0.068041 by the same date. The Relative Strength Index (RSI) momentum oscillator is currently indicating a neutral market.

3. Govcapital: Can Dogecoin reach $100

According to GovCapital’s custom algorithm based on Deep Learning, DOGE has been in a downtrend for the past year. However, the prediction system indicates that the future price of DOGE is expected to reach $0.18 (162.174% increase) after a year.

Therefore, investing in DOGE now may be a good addition to a portfolio, as trading bullish markets is generally easier. If someone invested $100 now, their investment could potentially be worth $262.174 on March 22, 2024. But yeah, again this takes us nowhere near $100

4. Wallet Investor Dogecoin outlook for hitting $100

Wallet Investor’s forecast system indicates that investing in Dogecoin for the long term (1 year) is not recommended as it is a high-risk investment option.

While their predictions for Dogecoin are updated every 3 minutes with the latest prices using smart technical analysis, they suggest that DOGE is a bad investment option for those looking for virtual currencies with good returns.

Currently, Dogecoin is predicted to be worth 0.0754 USD, but Wallet Investor warns that there is a possibility for devaluation in the future.

Ok, so we’ve got two bullish outlooks and two that are bearish. The reality is that all these predictions are nonsense. You cannot predict the price of an asset based on its past performance.

If these sites were able to predict the future I doubt its owners would type away articles to appear on search results. No! They would be lying on a beach somewhere sipping on their Mojito.

So is Dogecoin a good investment?

In my opinion absolutely not. There are no fundamentals to prop this coin up in the long term.

The coin is highly dependent upon the market sentiment on social media platforms. I would definitely avoid putting any of my life savings into Doge.

Having said that, if you are a trader and understand how to read trading charts then you could have a lot of fun. Dogecoin is one of the most volatile coins in the cryptocurrency market. If you know how to set stop losses and spot patterns then you might be able to make some pocket money.

Most likely though you will lose money rather than make it.

Like how I lost my $1000 eventually.

Whatever you decide please make sure to do your own research. None of the content here is financial advice.

If you are still not convinced then check out my article on how to buy Dogecoin. At least if you are going to do it do it the proper way. Read that article for more details.

Also, you might want to check out commonly cited reasons people think Dogecoin will fail.

Why Dogecoin Will Fail: 20 Reasons Why Its Price Will Crash

In this article, I walk you through why many people think DOGE is not going to make it. Read more.

What is Dogecoin?

Dogecoin is a decentralized, peer-to-peer digital currency that was created in 2013 by programmers Billy Markus and Jackson Palmer. The currency is based on the “Doge” internet meme, which features a Shiba Inu dog.

Dogecoin was originally created as a lighthearted alternative to Bitcoin and other more serious cryptocurrencies.

It uses a similar blockchain technology as Bitcoin to maintain a ledger of transactions, but it has some key differences, including a faster block time and a larger maximum supply of coins.

Dogecoin gained popularity in early 2021 due to social media attention from figures such as Elon Musk and Reddit users, resulting in a surge in its value.

However, it is known for its high volatility and speculative nature. Despite this, some people continue to use and hold Dogecoin as a store of value or a means of payment.

Will Dogecoin ever reach $1

In this article, I look at what it would take for Dogecoin to reach $1. First I will give you the context you need to understand DOGE. Then I will look at DOGE’s market performance and compare Dogecoin’s market cap to that of other major cryptocurrencies. Subsequently, I will examine the factors influencing Dogecoin’s price and outline the necessary preconditions to achieve the $1 mark. Read more.

Can Dogecoin reach $10

Check out my other article where I explore whether Dogecoin can reach $10.

How other traders are staying on top of Dogecoin

If trading Dogecoin is your thing then I highly recommend you do three things.

First, choose a platform to set price alerts.

Second, join the most popular crypto discords. And third, figure out which Telegram groups to join.

How to set crypto price alerts

Cryptocurrency prices can be volatile and unpredictable, making it important for investors to stay informed about price changes and market movements. One way to do this is by setting up price alerts, which can notify you of important crypto price movements and allow you to react quickly to market conditions. Check out the top platforms to get trading signals.

Top crypto discords

In this article, I will be ranking the top crypto discords. To do this, I tried to be as objective as possible. I used the following criteria to rank them: the size of the community, the level of activity, the quality of discussions, and the availability of resources and support. Read more.

30 Best Telegram Crypto Groups to Get Trading Advice

To stay in the know you need to join a Telegram group. Here are the three most popular ones with traders.

1. Airdrop Telegram crypto group

This is the largest Telegram group with 1 million members who are super excited to stay on top of the next coin.

2. DeFi Million Telegram crypto group

This is one of the best crypto Telegram channels with more than 300K members.

3. Whale alert group

Join this one to keep track of what the big crypto holders (whales) are doing.

See the full list of the best crypto Telegram groups.