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The meme-inspired cryptocurrency Dogecoin (DOGE) has seen its valuation fluctuate wildly since inception, ranging from less than a penny to over 70 cents at peak hype.

Now, in 2024, Dogecoin holders are asking if it could reach the $1 price point again this time.

This milestone once seemed unfathomable, but current market conditions and several bullish signals suggest DOGE has viable pathways to realize that vision.

 

Current Price Action and Market Cap

As of March 2024, Dogecoin trades hands at around $0.15 on major exchanges. This coin gives the cryptocurrency a total market capitalization of over $20 billion, cementing it as one of the largest and most prominent digital assets.

For context, DOGE is far below its all-time high from May 2021, when it briefly surged to $0.7376 amidst a speculative frenzy driven by Elon Musk's promotion.

The price corrected below $0.30 and traded sideways between $0.10-$0.20 for much of 2022 and early 2023.

Recently, however, the entire cryptocurrency market has shown signs of recovery. After months below that level, Bitcoin cracked $25,000 again, and altcoins like DOGE are also up considerably off their lows.

These suggest crypto may be gearing up for a bull cycle. With the right catalysts, Dogecoin could return any significant market uptrend to its former highs.

 

You might appreciate this related piece: Volatility Differences Across Crypto Assets

 

Pathways for Dogecoin to Reach $1 in 2024

While merely regaining its all-time high would imply a nearly 5x gain from current levels, surpassing the $1 threshold would signify an even greater upside of over 550% to the upside.

Here are some potential drivers that could propel such a bull run:

Renewed Hype and Speculation

 

Elon Musk's tweet about Dogecoin support seen on smartphone placed on dollar bills. Concept. Stafford, United Kingdom.

 

Much of Dogecoin's previous success has been tied to hype-driven manias surrounding meme stocks and cryptocurrencies.

Should another wave of viral excitement around DOGE take hold like last year, it could send the token soaring irrespective of technical merits.

Catalysts like Elon Musk tweeting about Dogecoin, Reddit/TikTok hype cycles, Robinhood adding DOGE withdrawals or even Dogecoin being used to purchase major companies like Twitter would all refocus investor attention.

Furthermore, the fear of missing out has historically proven to be a powerful force in DOGE price action.

Growing Merchant Acceptance

Expanding real-world usage as a payment method is key for Dogecoin to thrive long-term rather than just benefit from bubbles. Here, some promising developments are underway.

Brands like AMC Theatres, the Dallas Mavericks NBA team, and even SpaceX now accept DOGE for certain purchases. Payment processor BitPay also added support last year.

If more retailers come on board in 2024, due to Dogecoin's low fees and brand recognition, usage will grow along with its market price.

Continued Development & Upgrades

While some assume meme status disqualifies Dogecoin as a serious project, that perception ignores active development efforts to improve network security, features, and scalability beyond meme appeal.

The previously mentioned Dogecoin Core 1.14 upgrade reduced transaction fees by 50-70% to facilitate spending. Another change lowered minimum fees 1000x from 1 DOGE to .01 DOGE.

It demonstrates a clear utility focus by developers despite the community's lighthearted side.

More upgrades are planned for 2024, like making Dogecoin proof-of-stake to follow Ethereum's recent merge, while ambitious longer-term goals exist, like greatly increasing transaction throughput.

These changes can enhance DOGE's functionality and perceptions as a modern cryptocurrency that belongs in the $1+ range valuation-wise.

This article may pique your interest: How to Secure Your Cryptocurrency Wallet

Increased Institutional Investment

 

Skyscrapers, High-rise Building From Angle View On Background Of Sky. Cityscape, Tower In Urban Area. Business Development Or Financial Center Concept. Copy Space On Left. Modern Building. Horizontal

 

As cryptocurrencies mature from a fringe novelty to mainstream asset class, greater Wall Street and institutional investor participation creates legitimacy and positive price momentum.

There are already signs of this underway for Dogecoin. Platforms like Robinhood and eToro have made DOGE easily accessible to retail traders.

Bitcoin Treasuries data show that large holders of Dogecoin, including billionaire venture capitalists, companies, and ETF-like funds. If these influential entities continue to add Dogecoin to their portfolios, they could endorse $1 as a sensible near-future target.

This scenario ties into Dogecoin's branding, too. Meme appeal makes it recognizable to ordinary investors, while beneficial properties like fast/cheap transactions and high liquidity appeal to professionals.

DOGE can uniquely straddle both worlds - driving demand across the spectrum.

Macroeconomic Issues Benefit Cryptocurrencies

Finally, Dogecoin and other cryptocurrencies stand to gain as global economic woes plague traditional markets.

Concerns like high inflation, currency devaluation, quantitative easing dollar weakness, and unfolding recessions are prompting investors to hedge into alternative safe-haven assets.

Digital gold proponents see Bitcoin as the main destination, but the rising tide often lifts most assets. Money in search of stability flowing out of, e.g., the fluctuating Pound Sterling or Chinese Yuan may make its way into DOGE alongside better-known cryptocurrencies.

If these issues persist as analysts expect, investors feeling the pinch may pile into essentially scarce assets.

For Dogecoin, this creates long-term upward momentum toward the $1+ zone compared to fiat currencies with unlimited supplies being printed rapidly.

 

Expand your knowledge with this write-up: Protocols On Redeeming USDT For USD

 

Conclusion and Implications for Traders

The meme cryptocurrency benefits from a unique combination of viral appeal, increasing real-world utility, ongoing development, and the potential for significant investment inflows against a backdrop of global economic uncertainty.

As these bullish drivers gain momentum, DOGE could be poised for a major price breakout in the coming months.

For traders, the implications are clear - pay close attention to Dogecoin in 2024. While the inherent volatility of cryptocurrencies means any investment carries risk, the potential upside for DOGE, if things play out favorably, could be substantial.

Traders should monitor key catalysts like celebrity endorsements, merchant adoption, upgrades, and institutional buying, as any of these could ignite a sharp rally.

Whether Dogecoin hits $1 or not is a defining year for the cryptocurrency - presenting opportunities and risks for traders to navigate in pursuing profits.

 

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“When considering “CFDs” for trading and price predictions, remember that trading CFDs involves a significant risk and could result in capital loss. Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be considered investment advice.”

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