If you’ve been following GameStop’s incredible stock climb and crash (GME) incident, you’ve seen some Elon Musk-related media coverage.
Dogecoin (DOGE) has recently seen a significant run-up, mainly due to Musk’s remarks.
However, what precisely is Dogecoin? And will it fizzle out as GME did? Here is everything you need to know before you start investing in DOGE.
Describing Dogecoin
A cryptocurrency called Dogecoin was created in 2013 as a joke and is pronounced: “DOJ-coin.” Its name is derived from an old Shiba Inu dog meme from 2012 or 2013.
How to Purchase Dogecoin?
Unfortunately, it is not as commonly used as other currencies like Litecoin, Bitcoin, or Ethereum. Many exchanges offer this cryptocurrency, and you can start investing in DOGE anytime. You might want to get a crypto wallet first if you don’t already have one. You can securely store your cryptocurrency in a wallet and obtain it via an exchange. There is a significant reason to keep your cryptocurrency personally because exchanges are popular targets for hackers. When your cryptocurrency is in your wallet, you also have complete control over it.
Browsers or mobile apps commonly interface with crypto wallets. Additionally, wallets have a password you should remember and preserve in a secure location. Another choice is hardware wallets. But you probably don’t need one just yet unless you’re buying a lot of cryptocurrencies.
The procedure for purchasing it is straightforward. If you have already purchased cryptocurrency, purchasing DOGE will be comparable. If you want to buy it, you should consider the following fundamentals:
- Search for a wallet that accepts Dogecoin
- Locate a Dogecoin trading exchange
- Put the coins in your wallet after completing your first DOGE transaction
What Does Dogecoin’s Future Hold?
The price of this crypto has been rising steadily. But it isn’t easy to imagine the coin persisting in the long run, considering that it doesn’t seem to have any practical applications. There is no limit for it, in contrast to several other cryptocurrencies, and there are 128 billion Dogecoins in use right now.
There have been repeated tweets on the social platform supporting the coin. And as long as there is support, it continues to sell. Following social media buzz, however, is not a guarantee that this cryptocurrency will be a profitable currency in the long run, even though it can be a wise short-term trading strategy.
Conclusion
Some people will be wise to invest in Dogecoin, while others may not think it is a good idea. This is the trickery with investing, as there always is. Prices for cryptocurrencies can change significantly in a matter of seconds. If you’ve been following market news, you’ve probably heard of people who made millions in a matter of days.
Overall, it might be considered an investment because it has a loyal community, is well-established, and has shown price growth over time. You must be able to resist the occasionally occurring price decreases. Dogecoin investing requires strategies; therefore, if you want to succeed, you must be willing to accept price swings and act accordingly.
In the end, conduct your study to identify the best wallet for your needs and compare various exchanges to determine the appropriate one. So, make a wise decision.
