A cryptocurrency that started as a joke is now heading to the Moon, if only figuratively: Dogecoin has surged to an all-time high of $0.72, thanks to an endorsement by entrepreneur Elon Musk and his legion of memesters.
Named after an internet meme featuring the adorable Shiba Inu dog – now known in all circles as ‘Doge’ – the cryptocurrency has continued to rise both in popularity and value throughout 2021. Dogecoin’s price spiked by 14,000% since January, making it the fourth-biggest cryptocurrency in the world. Even though its price was nearly halved in late April, it’s now on a more-or-less constant rise, with a market cap reaching $93.1 billion at its highest.
Crypto traders have been selling and buying this coin at a stable $0.003 until this year, when its price started rapidly shooting up. While the sudden rise in popularity can be credited to Musk and his army of fans who jumped on the crypto ship “for the lulz,” there are other reasons behind Dogecoin’s soaring value: Specifically, the practically nonexistent transaction processing time and fees. Sending a Dogecoin takes less than a minute, compared to the 20 or so minutes a Bitcoin transaction can take nowadays. Since the value of a single coin is still under a dollar, it’s excellent for small transfers, so many online casinos accepting cryptocurrencies use Dogecoin as a payment method.
Dogecoin has also attracted investor attention, as Bitcoin’s and Ether’s high value also comes with volatility. This makes them expensive for beginner traders, who see Dogecoin as a smoother entry point into the world of crypto trading. Even platforms like eToro, Webull, and Gemini are now trading in Doge, making it even more accessible to the general public. Its meme background also makes it a fun coin to own, especially in its current era of “such value, much excite.” Of course, whether this surge lasts remains to be seen.