The coin of the moment, Dogecoin. Crypto proponent and Galaxy Digital CEO Mike Novogratz has described not having any Dogecoin as dangerous.
This is not unconnected from the sporadic rise the coin experienced in the past two weeks. It has seen the meme coin cruise to top ten crypto by market cap.
On the flip side, the CEO says he believes that the coin’s rise was fueled by Robinhood traders and WallStreetBets. In an interview with CNBC, Novogratz said he is certainly not long on Dogecoin, but he believes there is a powerful community backing the asset.
He compared the coin to GameStop Stock, which surged sporadically even when it has little to nothing value.
“Dogecoin speaks to a lot of the same movement that GameStop did. There is a kind of crazy excitement around very young investors, around meme coins and meme ideas. It’s shocking to me that GameStop continues to hold any value… Doge is even more bizarre in that respect…
The CEO while speaking further categorically said Doge and BTC are not the same but attracting investors for similar reasons. “The two cryptocurrencies are unalike in many ways, even though Dogecoin is a fork of the Bitcoin code.
What analyst says about Dogecoin (Price Prediction)
Sam Onigbanjo, founding partner at the Capital Markets Academy, told the UK’s Express newspaper that Doge is in an uptrend. He notes that the coin is driven by celebrity endorsements and acceptance at major companies.
Onigbanjo noted that the coin would face resistance at $0.50 and then $1, a level it will reach before July. After $1, he notes that the coin would face its next resistance at $10.
Algorithm-based forecasting service Wallet Investor predicts the Dogecoin price will continue to trade around $0.30 for the rest of the year, ending December 2021 at $0.33.
It forecasts that the Doge future price will move up to $0.38 at the end of 2022, reach $0.42 by the end of 2023, and hit $0.51 by December 2025.
Its longer-term forecast puts the price at an average of $1.48 by 2028. Doge price prediction from cryptocurrency aggregator CoinSwitch, however, is bearish, forecasting that in a year the price will fall back to $0.01