Will Dogecoin Break and Hold $0.10 This Time

about 3 years ago

Dogecoin has been wild the last few weeks in part of major influencers promoting it. However we saw a major spike followed by a hard sell and massive volume. Nearly 35 billion was traded in Dogecoin in just 24 hours on the last spike and from that end result the price ended up about 300%. Most of that heavy selling came from people who held millions if not billions of Dogecoin.

Now there are new things to Doge that came just before this spike and that was Doge going DeFi!
That's actually a major thing and in itself should increase the price of Dogecoin without all the hype.

However you need to be very careful when people start screaming from the rooftop to buy Doge. It becomes a massive buy that ends up being over bought into a crazy hard sell.

My prediction

We fall short of $0.10 again and brings the price back down to $0.04 there just seems to be less traction this time around and still many people who would love to sell out of their Dogecoins for a current premium.

Also don't forget millions of new doge get mined every month so you have a huge increasing supply that will drive down prices as well. earn block rewards 10,000 Doge coin every minute! That's a lot of new coins being brought in daily.

At some point the hype of dogecoin will wear off and I have a strong feeling that hype from Elon and WallStreetbets will be falling off this week and moving on to something else. With a second failed attempt to hit $0.10 I feel like there's going to be a lot of pissed off / sad investors who bought into this hype.

However this does bring new money into DeFi projects as that money will flow into the new DogeFI token which should make for some interesting things over the next week or two.

Always follow the money it tells the story.