Is Dogecoin dead? Here are the facts

Many crypto investors, including Dogecoin holders, are worried about the performance of their coins following the general bearish turn in the crypto market. This has triggered questions about whether Dogecoin is dead, which has evolved as a major topic of debate.

Even though the value of Dogecoin dropped tremendously in 2022, it’s not fair to say that Dogecoin is dead. In 2022, the price of Dogecoin dropped significantly with a downward trend of up to -46%. In this article, we will look at the causes of the Dogecoin crash and see if Dogecoin has a good chance of recovering in the future.

Why is Dogecoin down?

2022 was a tough time for the crypto markets, and was also one of the toughest years ever for the crypto industry. There are a few factors that can explain the Dogecoin crash.

Crypto-currency related factors

Just like many other notable crypto-currencies in the industry, Dogecoin has also given back its gains following the series of high-profile implosions that have negatively affected the industry. From the terrible crash of Luna, to multiple instances of major crypto companies like FTX and Celsius failing and filing for bankruptcy, the crypto market has struggled to hold its value in recent months.

This has caused significant damage to the wallets of crypto investors, and Dogecoin holders have not been spared from the carnage of the crypto market either.

Macroeconomic Factors

In addition to the notable fallout that has occurred in the crypto space recently, the crypto industry has also been affected by macroeconomic troubles. Perhaps the most notable factor is the rise in interest rates, which is a result of central banks attempting to curb inflation.

In 2022, back-to-back rate hikes by the U.S. Federal Reserve had a big impact on the crypto markets. When interest rates are high, investors tend to be less inclined to park their money in risky assets like crypto-currencies, and instead choose safer alternatives….

The historical performance of the dogecoin market: Is DOGE dead?

Dogecoin may have started out as a joke to many crypto-currency enthusiasts, however, impressions changed and adoptions skyrocketed as the coin became a center of attraction for many investors. The coin became particularly famous after receiving a major endorsement from the highly influential billionaire entrepreneur Elon Musk.

Launched in December 2013, Dogecoin introduced the concept of a meme coin, as it was initially a joke that poked fun at the rampant speculation in the crypto-currency markets. Starting off on the right foot, the coin began to gain adoption a few years after its launch as it began to attract interest from both retail and institutional investors. In 2017, the price of DOGE saw an impressive 4,009% increase from $0.000223 to $0.009164.

In addition, Dogecoin also experienced a bullish rally in 2021 following a strong social media push that was heavily influenced by the world’s richest man, Elon Musk. At that time, predictions as to whether Dogecoin will reach $1 became a major topic of discussion among crypto-currency investors. With the price of Dogecoin rising by about 3,000 percent in 2021, the token hit an all-time high of $0.738 in the second quarter of the year.

Even though the price of Dogecoin took a big hit in 2022, DOGE still has an impressive market cap of $11.7 billion as of this writing. Therefore, we can definitely say that DOGE is not dead. In fact, DOGE outperformed the majority of other top 100 crypto coins in 2022 (including Bitcoin and Ethereum), showing its relative strength compared to the rest of the crypto market.

Does dogecoin have a future?

Dogecoin has shown impressive resilience, making it likely that it will continue to have a future and play an important role in the crypto-currency market. Dogecoin is one of the most popular crypto-currencies and is almost immune to controversy thanks to its meme status in the crypto community. In other words, people don’t expect much from dogecoin, which is precisely why it tends to stay put and even outperform the rest of the markets in down times.

The resurgence of Dogecoin in 2021 has led to a renewed interest in DOGE, and there are even plans to improve the Dogecoin protocol to make DOGE a more useful digital currency. In fact, Elon Musk has stated that he is in contact with Dogecoin developers to discuss ways to make Dogecoin a more efficient payment method.

Working with Doge devs to improve system transaction efficiency. Potentially promising.

– Elon Musk (@elonmusk) May 13, 2021

While it’s hard to say whether DOGE will see another massive rally like it did in 2017 and 2021, it’s likely that Dogecoin will stick around for a long time. DOGE is easily accessible on many crypto exchanges and simple to use, making it attractive to crypto newcomers and seasoned crypto investors alike.

What will the price of Dogecoin be at the end of 2022?

Considering all the crucial indications from the technical analysis of Dogecoin prices for the rest of the year, the value of Dogecoin is expected to see a slight spike by the end of 2022. The price of the coin is expected to increase by 2.74% and reach $0.094444 by December 19, 2022. This data has been technically analyzed and predicted by CoinCodex.

What is the Dogecoin price prediction for 2023?

After critically observing Dogecoin prices in previous years, there are assumptions that the minimum Dogecoin price will be around $0.129987 in 2023. Meanwhile, the maximum price of Dogecoin is expected to reach around $0.159984 before the end of 2023. Therefore, the average trading price of Dogecoin during the year is expected to be $0.139986.

Following the prediction of the Dogecoin price as of December 14, 2022, the value of Dogecoin is expected to drop by 1.86% to $0.090209 by the beginning of 2023, specifically on January 13. There have been technical indications that the sentiment at the time of writing is neutral while the fear and greed index shows 30 (fear).

The analysis also reveals that Dogecoin has recorded 13/30 (43%) green days with a price volatility of 9.35% in the last 30 days.

So, is Dogecoin dead in 2022?

Some crypto experts predict that Dogecoin’s popularity will win out and the coin will continue to succeed amidst all the market woes, others say that the lack of use cases will lead to DOGE’s demise.

It appears that many crypto users have continued to doubt the fate of Dogecoin despite the bullish attitude of the online community on the coin. Therefore, it is correct to say that the question “Is Dogecoin dead?” has remained in the minds of crypto enthusiasts, especially Dogecoin holders. Some investors even wonder if crypto as a whole is dead.

It’s important to note that there are possible chances that the meme coin could outperform the industry’s leading crypto currencies, given its unique design and historical performance. Meanwhile, Dogecoin is definitely not dead, as it can be inferred from all observations that DOGE has so far survived several crypto bear markets. However, Dogecoin will have a lot of competitors in the next bull market, as the meme currency sector is quickly becoming crowded. Will Dogecoin remain the largest meme currency on the market or will another meme currency explode instead?