As of today, Dogecoin has nearly doubled its market cap within the last week. While all cryptos are currently experiencing a resurgence,
It has significantly outpaced the rest of the market. Shrewd analysts have been expecting a major rally around this time of year, and here are four reasons why:
It’s developers finally started releasing updates.
The Dogecoin development team has recently announced that they are preparing to release a new update to the Dogecoin code base. They have already put out an Alpha update that should be followed by a full version shortly. It hasn’t received any updates in almost two years (despite the network still running with no issues). A new update to an already stable network is huge news.
The Dogecoin community is one of the healthiest in terms of size vs market cap.
It has the largest community to market cap ratio of any cryptocurrency. The Dogecoin subreddit boasts an impressive 100,000+ subscribers, just barely behind third largest (by market cap) Ripple (150 k subscribers), and well ahead of fifth largest Cardano (50k), despite being only ranked around number 30 by market cap. That user base is one of it’s greatest strengths; actual adoption.
The Dogecoin community is extremely positive
The recent cryptocurrency crash brought out huge amounts of negativity all over the crypto space. During run ups and crashes, most forums tend to alternate between users boasting about their earnings or users chastising one another for their losses and decision making. Dogecoin forums are different. Forum wide giveaways and charities are the norm, and most users are extremely friendly and helpful to new users. The Dogecoin subreddit has an unspoken rule about treating others positively and supporting other members. This attitude has had a very strong effect on long term user retention.
February 16, 2018 marks the start of the Chinese New Year, and this year is the “Year of the Dog”.
To kick off the celebration, the Dogecoin subreddit is hosting a massive video contest, the goal of which is to promote it. User submitted contents entries have a chance to win up to 18 million Doge in prizes. Prices are rising rapidly, but at the time of writing that’s almost $150,000. The contest comes with the expectation that the Chinese markets will move heavily into it, due to the novelty, and the contest itself is already creating a footprint online. Cleverly edited videos like this parody of a famous Apple ad are already getting a lot of attention.
Yes, It’s is already beginning to rally, with no signs of slowing down.
While it’s difficult to predict exact prices in the short term, It is one of the few cryptocurrencies that has an established, growing community with very high user engagement, and investors have already taken notice. Coupled with the well-timed community marketing effort, Dogecoin is poised to make a massive run within the next few weeks.
Article contributed by :E.K. Hornbeck