Trade Recommendation: Dogecoin. Dogecoin Was a Joke Coin. Was It Really?

in #dogecoin7 years ago (edited)

Dogecoin has done amazingly this past month along with the rest of the "penny cryptos." More and more it is proving that it is the true king of the shit coins. It has recently bounced off support at 80 satoshis and appears to be showing bullish signs. Below is a trade recommendation and an opinion piece about DOGE published on Hacked.com. 

Source

Published 13 hours ago on January 11, 2018

By Dmitriy Lavrov

 The price bounces from the support zone formed by SMA50 and 0.00000080 support level. RSI confirms price reversal in the oversold zone. MACD histogram supports possible upward movement. DMI allows opening long trades. We have buy opportunity. Because the daily chart looks overbought and it has potential for downward movement, it’s better to use this buy signal as for short term trading with close profit targets. Entry level is 0.00000090 with stop orders below the swing low at 0.00000078 level. Profit targets are 0.00000100 and 0.00000110 resistance levels. Also you should note that the markets are not stable now. It’s better to use stop orders in order to avoid deep drawdowns. If you don’t use leverage, trading volume for this trade is up to 10% from your deposit. 

 Market: DOGEBTC
Buy: 0.00000090
Stop: 0.00000078
Profit Targets: 0.00000100 and 0.00000110 

 The trading signal is based on Poloniex chart.

Source

Published 18 hours ago on January 11, 2018

By Hira Saeed

Dogecoin is perhaps the most controversial altcoin on the market today.  The mascot of this altcoin is a Shibu Inu dog, a Japanese breed. The enthusiasts of Dogecoin call themselves shibes and are extremely fond of the meme.  Akin to bitcoin and its counterparts, Dogecoin can be mined and used to conduct monetary transactions. The limit of Dogecoin is set at 100 billion coins whereas that of bitcoin is set at 21 million coins. Unlike Bitcoins, Dogecoins do not require ASICs for the mining process. The algorithm type of Dogecoin is Scrypt. 

The Origin

The story goes that Jackson Palmer was fed up with the hype created by bitcoin since its inception in 2009. Like many, he was also cynical about bitcoin’s relationship with the Silk Road website. Dogecoin was finally created on Nov. 27, 2013 by Palmer and Billy Markus. Palmer and Markus launched the official website on Dec. 6, 2013 after there were rumors that the crypto-coin was being used to fund illegal activities online. It was initially launched as a parody coin. After its went public, Dogecoin made it to news headlines and numerous blog posts. At one point, it even became the seventh largest cryptocurrency by market cap. 


The mascot 

Dogecoin vs. Bitcoin

The main difference between bitcoin and Dogecoin lies in the encryption algorithm. The algorithm used to mine bitcoin is SHA-256 while that of Dogecoin is Scrypt. Thus, the mining of the Dogecoin blocks is more computer-grade hardware friendly. The time taken to confirm a transaction on Dogecoin blockchain is only about 1 minute, which is significantly less than bitcoin’s. Even though bitcoin has the highest market cap and volume among all the existing cryptocurrencies, Dogecoin has traveled a long distance since its first step in 2013. The altcoin has a remarkably fast initial coin production schedule.  

Dogecoin and Litecoin

The first noticeable similarity between Dogecoin and Litecoin is the algorithm. Dogecoin is actually based on a fork of Litecoin, the LuckyCoin protocol. Hence, the ‘joke’ coin is often mined with Litecoin on devices that support the Scrypt algorithm. The Dogecoin wallet is also alike the Litecoin Core wallet. Both can be used to store and spend tokens. If a person has locked up their wallet then they will lose an insignificant amount. Dogecoin is supported by many merchants and can thus be used to purchase goods and services. Reports say that currently, Dogecoin is the most widespread token.  

Dogecoin Markets

Jubi and Poloniex are the more popular crypto exchanges that support Dogecoin. The digital currency was quite popular among Chinese investors before the country banned crypto exchanges. Other popular cryptocurrency exchanges that support Dogecoin are Bittrex, Kraken, YoBit and GitHub. One of the easier ways of getting Dogecoin is through Changelly, where a person can get several Dogecoin in exchange for a Litecoin. Many countries may start to support Dogecoin during economic and political crises. As an example, Venezuela is a leading region when it comes to Dogecoin since its national currency collapse.. Currently, the volume of Dogecoin is 13,190 BTC and the market cap is 112,469 BTC (as of Jan. 9, 2018). 

 There are basically three ways of making money with Dogecoin:

  • If quality articles or funny comments or art is posted online (on Reddit) then, a person can receive tips via Dogecoin. They are automatically added to the digital wallet. The person can then use it to buy products or services and even tip others.
  • It is extremely easy to conduct transactions using Dogecoin, just like transactions of fiat currency. Besides USD, EUR numerous online platforms have plugins that accept DOGE as payment. Anyone from a writer to a business developer can benefit from Dogecoin.
  • Trading Dogecoin is just like trading any other cryptocurrency or fiat currency. A vast number of crypto exchanges now support DOGE. The market of Dogecoin is highly volatile.

In March 2017, the founder of Dogecoin told CoinDesk: “New features aren’t being implemented into dogecoin because there’s no active development anymore. Eventually, it will become outdated. And with that, the network will organically wind down.” 

 “I have a lot of faith in the dogecoin core development team to keep the software stable and secure, but I think it says a lot about the state of the cryptocurrency space in general that a currency with a dog on it which hasn’t released a software update in over 2 years has a $1B+ market cap.”

Jackson Palmer, creator of Dogecoin

Jackson Palmer worries that the rapid success of cryptocurrencies will actually deter people from investing in more legitimate projects. “The bigger this bubble goes, the bigger negative connotation it’s going to have,” he said. “It’s going to be like the dot-com bust, but on a much more epic scale.” 

 Many crypto connoisseurs now suggest that it is time to shift the focus from bitcoin to other cryptocurrencies like Litecoin, Ethereum, Ripple, IOTA, and Dogecoin. With the rapid increase in the value of Dogecoin, more and more cryptocurrency traders are embracing this altcoin. Therefore, even amid some speculation, the future of Dogecoin looks bright.

 Initially dubbed as the ‘joke’ coin, Dogecoin broke $1 billion market cap last week. This, more than anything, shows that it is high time to be serious about the altcoin. After all, is really difficult to kill a cryptocurrency. The core developers are quite determined to keep the crypto-coin alive as long as there is interest in cryptocurrencies and the chance of developing and updating the existing technology.
 


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I took advantage of about a 50 percent gain on DOGE at one point but it seems like the reality of the space is starting to show itself. By that I mean that it's not good enough that DOGE is "just as good as BTC" since BTC is even not quite performing in a transaction capacity. So a coin that's as good as BTC is not really good at all actually. See my "BTC Fees, Shmees" blog post to get why some of these projects will inherently fail. There aint enough room in this town fer the both of us.....

These smaller coins with big followings will hold value till the end. The only question is how much value.

Still a contentious point. What is the end? The end of cryptos altogether? I don't think that's what you mean. So the end of "novelty alt-coins"? That could happen next week. Who knows.

The end of novelty alt coins is a good way to put it. Though at this point in a lot of ways bitcoin has become a novelty. It is certainly outdated and starting to loose use cases not gain them. In my mind as long as an outdated coin like bitcoin can dominate the market then a coin like Dogecoin will be able to hold its value for a lot of the same reasons such as having a large following and having many use cases. I personally trade Dogecoin pairs on X/DOGE markets aswell as use it to transfer funds from exchange to exchange as it is faster and cheaper than using bitcoin.

1 Billion Joke. I wish I could tell a good joke like that.

Me too.

nice blog!

Thanks. Don't forget to check the sources and show them some love.

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