One of the most common questions among DOGE supporters and investors right now is, will Dogecoin reach $5 any time soon? According to Unikrn, a Washington-based eSports bookmaker, Dogecoin has a 17% chance of reaching $5 by the end of this year.
This is due to the current popularity surrounding the joke cryptocurrency, especially on the media and social networks like Reddit and Twitter. The coin earlier in 2021 had a price surge that took it to over $0.70 with close to an $80 billion market cap.
Although the price of DOGE has since dropped, most price analysts are positive that Dogecoin will rise this year and might soon hit $5. And while Unikrn’s prediction seems a little bit too bullish, there is a good chance that Dogecoin might be going over $5 in the next few years.
Generally, there is a slim chance that DOGE will reach $5 this year. The community and investors are wondering if the coin can close the year at $1, driving its market capitalization to more than $135 billion in the process.
So, when exactly with the coin reach $5?
When Will Dogecoin Reach $5?
We can’t tell for sure when Dogecoin will reach $5. It could be the next five or even ten years. Some of the predictions we have seen vary widely, with a few being hopeful that the coin might hit $5 sooner than we think.
However, some analysts, siding the inflation issue and a possible lack of support from the community in the future, don’t think that DOGE will be trading at $5 any time soon. Currently, the altcoin is rising in popularity, and there is a good chance that the price will be much higher in the next few years.
According to Carol Alexander, a professor of finance at the University of Sussex, Dogecoin’s current popularity is drawn from its potential for massive returns. Carol says few other coins are as valuable as DOGE at the moment. This kind of popularity is crucial in driving Dogecoin’s price to the $5 mark.
If Dogecoin manages to reach $1 this year, it will increase its chances of hitting $5 in the next two or three years. Although the coin had a slight dip recently that almost dimmed its chances of closing the year at $1, it has since looked up and is now trading at over 50 cents.
According to FX Street, Dogecoin might be up for a 90% upswing that could potentially take it to $1 by the end of the year. The site reports that if the FOMO in the market becomes stronger, it will help the coin overcome its current resistance and rally to the psychologically important $1 by December 2022.
If this happens, DOGE will have a better shot at $5 in the next three to five years. CoinPedia believes if the meme coin manages to attract enough support from influencer marketers and big financial institutions, DOGE could settle at $2.382 by the end of 2022.
Jesse Cohen, Investing.com’s senior analyst, is even more positive that with the growing social media interest and celebrity endorsements, DOGE might break into the $5 mark by early 2022. Jesse is betting on the mounting support from high-profile business figures like Elon Musk to drive the joke cryptocurrency to $1 and possibly $5. He also believes that this kind of support will add legitimacy to the coin and boost investor confidence.
There are also some price analysts who don’t think that Dogecoin will reach $5 any time soon. For instance, Digital Coin Price predicts that DOGE will not touch $5 until after 2029. A few others are positive that this might not happen until at least 2030.
What Will Happen if Dogecoin Reaches $5?
If Dogecoin were to reach $5 in the foreseeable future, a number of things will happen:
- First of all, more people, even institutions, will have more confidence in Dogecoin, and the coin will be widely used for online transactions such as buying goods from merchants.
- The coin will also be highly valuable, depending on when it reaches $5—for instance, assuming that DOGE hits $5 in 2025 when there are 150 billion coins in circulation. That will take Dogecoin’s market cap to about $750 billion.
- More people will also invest, especially since current investors will be reaping huge benefits.
- Lastly, the coin might gain some ‘seriousness’, drop its joke badge and maybe even come up with a whitepaper. This plan already seems to be in motion as Elon Musk announced he will be proposing some massive upgrades to the Dogecoin network that will enable it to compete with Bitcoin.
But first, for Dogecoin to actually reach $5, it must first break the $1 hurdle. But when will this happen?
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Will Dogecoin Reach $1 In 2022?
There has lately been a lot of speculations about Dogecoin reaching $1 by the end of 2022. With its growing popularity and increasing support, DOGE has a good chance of hitting this target, although it won’t be as easy as most people think.
Remember that for Dogecoin to reach $1 by the end of this year, it means doubling its current value in the next two months. Anything is possible in the crypto world, but that is still a huge task to achieve.
Dogecoin has already surprised us with some huge growths. For instance, the coin grew over 3,200% by the end of last year, so it won’t be exactly ridiculous to say that it could even grow its value even more by the end of the year.
Experts believe that the growing positive sentiment around the cryptocurrency industry as a whole will significantly help to drive Dogecoin’s price to $1 by 2022. If this happens, we could be looking at a $135 billion valuation which means a lot of profits for current investors.
Still, there is a good chance of the price stagnating or even dropping, so it pays to keep your hopes in check.
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Is Dogecoin (DOGE) a Good Investment?
People who invested in Dogecoin when it was still very young will tell you now that it is a good investment. As it embarks on another price uptrend that could potentially take it to $1 by the end of the year, the meme coin is expected to be highly valuable for its investors.
For instance, if the coin were to actually reach $1 by the end of 2022, people who invested $1,000 at the start of the year will be looking at a $10,000 turnover, according to Fast Company. If it miraculously reaches $5, you are looking at nearly $50,000 profit within a year with a $1,000 investment.
However, there is no guarantee that the price will rise. So, while there is a generally positive outlook, you will still need to do some research and be sure that DOGE is good for your investment portfolio. Remember that this is one of the most volatile digital assets with crazy price swings. As a result, the price could move in any direction without warning.
If you are not sure what to look out for, feel free to work with an expert.
Read Also: Pros and Cons of Investing in Dogecoin
There is a good chance of Dogecoin reaching $5 in the next few years. Of course, the predictions vary, with some experts believing that the $5 milestone might be achieved as soon as 2022, while others say it won’t happen until at least 2030.
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