We've heard and read several stories about people who became rich simply by buying a cryptocurrency when the price was low and reselling when the price became high. Basically, anyone can do that.
The best part of the news is that there are several cryptocurrencies you can invest in. Bitcoin, which is the most popular and most valuable has made several people rich. At the same time, it has made some people poorer than they used to be. It is all about knowing when and how to invest. In recent time, Bitcoin price has dropped significantly, creating fear about the viability of cryptos as assets.
There are way too many cryptocurrencies for us to bother so much about what is happening to Bitcoin. It is the king of all cryptos, true, but there are many altcoins that are doing pretty well. Dash is one of several other cryptocurrencies you can invest in, and we are going to discuss whether it can make you rich in the next ten years.
If you are a true online trader or investor, you will appreciate the importance of information in decision making. In this piece, we are going to provide the most relevant information you will need to decide whether investing in Dash is the right thing to do. If you read carefully and attentively, you will be able to answer the original question of whether Dash can make you rich in ten years.
Contents:
- What Is Dash
- How Dash Works
- What Makes Dash Different?
- Dash’s Price History
- Dash’s Price Prediction
- How Can You Invest In Dash?
- Top Reasons to Invest In Dash
- Why You Should Think Twice Before Investing in Dash
- Should You Play The Long-Term Game With Dash?
- Important Tips for Investing In Dash
What Is Dash
Dash is an open-source cryptocurrency that was forked from the Bitcoin protocol. Launched in 2014, Dash was originally called Xcoin by Founder, Evan Duffield. As mentioned already, it was forked from Bitcoin, and the founder stated that he was unhappy with the transaction speed of Bitcoin and decided to create an alternative digital coin that will support faster transaction speeds and more privacy.
Even Duffield’s Xcoin was rebranded to Darkcoin in its early days. It was subject to pump and dump speculation in this period. The coin was also rumoured to be majorly used for transactions in the dark web market. In March 2015, it was rebranded again to Dash. Seven years later, the third name has remained, and people are beginning to see it as a potentially good investment option.
When it was launched, Dash was described in the whitepaper co-authored by Evan Duffield and Daniel Diaz as a privacy-centric cryptocurrency. It was designed to maintain user privacy and anonymity while improving transaction speed.
Dash is run in a unique manner (we will come to that later). After years of trading online transactions, Dash has a new ambition. Though it still prioritizes strong encryption features, Dash is being promoted as a medium for daily transactions. The primary ambition is to make the coin a unique digital currency that can be used as cash, credit card, or through Paypal. It still has a decentralized payment network.
How Dash Works
Like other true cryptocurrencies, Dash has a community that is run by a decentralized autonomous organization (DAO). The role of the DAO primarily covers governance and funding. It relies on community voted smart contracts to make decisions about the right actions to take.
The Dash community is its major backbone. It is composed of members who lay different parts independently to keep the network secured and the project up to date. To keep things in order, there are standard nodes in the network that are responsible for relevant actions like validating transactions and relaying messages. They are followed by miners, which are basically network nodes that validate blocks of transactions and add them to the blockchain.
To keep the ecosystem working smoothly, 10% of all funding derived from mining is reinvested into the Dash network. The fund is mostly used for the development of new community projects. This is recognized as one of the major reasons Dash has a very vibrant community.
What Makes Dash Different?
In addition to maintaining a vibrant community, Dash is different from other cryptocurrencies in some ways. It uses the X11 algorithm, which is a modification of the proof-of-stake (PoS) algorithm, while Bitcoin uses the proof of work (PoW) algorithm. Dash also maintains a two-tiered network, which is one of the reasons for its faster transaction time.
Dash has a lower tier that is made up of miners and main network functions. The second tier of the network comprises of Masternodes. These Masternodes allows the network to perform high-level operations, especially InstantSend and PrivateSend functions. The Masternodes are also an integral part of the governance structure in the Dash network.
InstantSend is one of the functions that further distinguish Dash from Bitcoin and other cryptocurrencies. The function allows the network to process transactions instantaneously, solving a common problem in the cryptocurrency universe. The transaction fee of using Dash is also attractively low. It is rare for the transaction fee to exceed $0.01.
PrivateSend is more of a privacy feature. It allows Dash users to send payment to others in an untraceable manner. Most cryptocurrencies have similar features, but Dash is unique.
Read Also: Pros and Cons of Investing in Dash
Dash’s Price History
When Dash was launched in 2014, the price was as low as $0.27, according to Atomic Wallet. As of February 2014, the coin was sold for as low as $0.21, which is the all-time low. However, it didn't take too long for Dash to improve – the price rose to between $2 and $3 in a matter of months.
For almost three years, Dash’s price didn’t catch anyone’s attention. To be honest, those who had no stake didn’t really care about Dash, so the coin was practically stunted through this period. In early 2017, Dash gained some traction again.
From March 2017, Dash’s price started growing steadily. The trend continued till December 2017, when the coin reached its historical high of $1,642. The price dropped a little towards the end of the year and during the first few weeks of 2018. Another spike brought the coin's value to $1,285.5 later in January of 2018.
The rest of 2018 was a tough period for Dash. The currency followed a downward trend. In less than one year, the coin fell from $1,642 to as low as $65. Towards the end of the year, it fell further to about $40.
Dash started looking like an interesting cryptocurrency towards the end of 2019. Slowly, the coin climbed back to above the $100 mark in the first months of 2020. It continued to improve steadily, but not in any dramatic manner.
Earlier last year, 2021, Dash’s price climbed to more than $200. In February, the coin climbed to as much as $324 and many believed it was going to hit $400. Dash crossed the $440 line in May but in the following months, the coin’s value slowly went down. Since then DASH hasn't managed to trade over $250.
Current Position Of Dash
At the time of writing, Dash’s price is around $81.86 and market capitalization is $863 million, which makes it the 80th ranked cryptocurrency, based on market capitalization.
Dash’s Price Prediction
Back in 2020, Wallet Investor was one of the few sites that correctly predicted that Dash will hit the $200 resistance point between January and February 2021. They were pessimistic about the performance of the coin, predicting that the value will go down until it hits a low of $39.7 in December 2021.
Wallet Investor has since updated its Dash’s Price prediction. The current prediction is a lot more optimistic. If it were to come true, we will see Dash hit a peak of $369.86 by December 2022.
Long Forecast is not so optimistic about Dash this year. According to their prediction, the coin will close this year at $50.3.
Provisioni Bitcoin is another site that is very optimistic about Dash this year. According to its prediction, Dash can reach a height of $145.16 by the end of the year.
Coming to long-term predictions, we need to be a little more careful as Dash has shown unpredictability in the past.
Digital Coin Price has predicted that the value of Dash will continue to improve in the coming years. They are predicting that the coin can hit $360.8 in 2029. This may appear too optimistic, but the cryptocurrency universe always has surprises.
Long Forecast remains pessimistic when it comes to the long term outlook of Dash. According to their prediction, the coin's value will fall steeply, coming down to $9.9 in December 2025.
The most positive predictions for Dash are the ones from Cryptocurrency Price Prediction. They are predicting that Dash can reach $2,005 by the end of 2025 and $5,649 in 2030. These figures look out of place, but no one can rule out anything in the crypto universe.
Don't Miss: Dash Price Prediction for 2025 and 2030
How Can You Invest In Dash?
The average person invests in Dash by buying the crypto with fiat currency or another cryptocurrency. Dash mining can be done using traditional PC and GPU miners, but we are not interested in that. It is for the technical-inclined and not the average investors or traders.
To buy Dash, you may have to open an account with a regulated and reliable cryptocurrency exchange, deposit funds into the account, and use the fund to buy Dash. If you already own an account, the process is as simple as using either the fund in your account or a cryptocurrency balance to exchange for Dash at the going rate.
To make money in Dash, you have to buy when the price is low and sell when it is high. This sounds really simple, but it is a little more complicated than that. You need to monitor the market to see and understand trends.
Dash has had a somewhat unpredictable past, and the future is not looking as clear as potential investors will want it to be. Short-term trading seems like the best strategy for the coin as no one can predict with certainty how the coin will perform in the future.
Top Reasons to Invest In Dash
Dash may not be among the most popular cryptocurrencies out there, but it is an interesting buy for some reasons. Here are a few reasons you may want to invest in Dash:
It Is a Decent Payment Platform
Dash was forked to make cryptocurrency payments faster, and to some extent, this has been a success. The network is pretty fast when it comes to handling payments. In fact, transactions are processed instantly, irrespective of where you are sending the payment from and the destination. Transaction fees on the Dash network are always cheap (less than $0.01).
It Is a Privacy Coin
If you cherish your privacy and want to deal with cryptocurrencies, Dash is one of the favourable coins to invest in. Though privacy is not prioritized by default, choosing the PrivateSend option will ensure that your transactions are done anonymously. Privacy coins attract discreet investors, and that can be a plus for Dash in the long run.
Big Returns Are Possible
It is possible to get huge returns by investing in Dash. Those that traded the coin in its earliest days can bear witness to that. Few months after it was launched, Dash was sold for $0.21. It took the coin about three years to reach an all-time high of $1,642. An investment of $1000 in January 2014 would have been worth a whopping $7,819,047 in December 2017. That’s simply magical.
Currently, It Is Reasonably Priced
At the moment, Dash is reasonably priced. You don't have to spend a lot of money to make a decent investment in Dash. Buying when the price is down is key to making a big profit, but you will need to wait for the price to climb up again – and no one can authoritatively tell whether the price of the coin will really rise.
Why You Should Think Twice Before Investing in Dash
Dash is not the most reliable cryptocurrency on the market. It is not among the most popular ones, and it has thrown some unpalatable surprises in the past.
Though Dash has some good qualities, it doesn’t really stand out. Though it facilitates instant transactions at minimal fees, it is not popular among cryptocurrency enthusiasts. Besides, there are many other networks that support fast transactions and have native currencies that are way more popular.
Over the years, Dash has shown some inconsistencies in terms of value. In 2017, the coin appeared as if it was reaching for the moon, only to crash in a manner that left many doubting its viability and ability to rise again.
It’s been more than three years since the coin dropped from its ATH, yet, it is yet to get close to the $1000 mark. In fact, it is looking like Dash may never cross the mark again.
It is possible to earn money by investing in Dash, but the odds are not friendly. You will also need to be mindful of the amount to invest and stay alert to know when to buy and when to sell.
Check Out: Should You Buy Dash?
Should You Play The Long-Term Game With Dash?
If you are hoping to invest in Dash now and cash out big time in the next ten years, then HODLing is the strategy for you. But will it truly work for Dash?
From what we have seen over the years, Dash may not be the most ideal cryptocurrency to play the long-term game with. Sure, if you invested in 2014 when the coin was launched, your investment will be significant now, but there are many other factors to consider. Those that invested in December 2017, for instance, lost big time. No matter how long they wait, it is unlikely that the coin can rise so much that they can recoup their investments.
Dash currently trades for around $245, and no one is sure whether the coin will be worth more than that in ten years’ time. There are as many negative predictions as there are positive ones about the future of Dash, so new investors need to be cautious with the coin.
Important Tips For Investing In Dash
If you are determined to invest in Dash, we will advise that you tread cautiously. Here are a few tips that can help you.
Make Sure You Buy When Price Is Low
Honestly, Dash is not looking like a crypto coin that will become very pricey in the future. It is important, therefore, that you buy when prices are really low. Keep monitoring the market to see when prices will drop significantly.
Do Not Invest Heavily
We previously mentioned that there is a possibility of Dash yielding a huge return on investment. The intention is not to encourage you to make a heavy investment. The coin may not be so popular in the future, so it is better to invest cautiously.
Do Not Wait For Ten Years
If you invest in Dash and the value start to improve, it is not compulsory that you have to wait ten years before cashing in. Investors who failed to cash in in 2017 are regretting their decision nearly four years later. Once your investment yields a good return and the price starts going down, you can cash in within two, three, four, or five years.