In the next chapter of the Reddit stocks drama, Dogecoin (CCC:DOGE) enthusiasts are hoping to take the cryptocurrency above $1. At current prices, DOGE trades at just above 1 cent. As the social media-fueled rally continues, what should you know about Dogecoin price predictions?
On most days, Dogecoin is the subject of memes and cryptocurrency enthusiasts. Billy Markus and Jackson Palmer founded the digital currency in 2013 to broaden the reach of Bitcoin (CCC:BTC) and make the crypto world a bit more fun. Is anything more fun than the Shiba Inu “Doge” meme?
Despite the quirky branding, DOGE is more than just a meme. Its market capitalization clocks in at $1.6 billion and Dogecoin commands a loyal following. In recent months, adult star Angela White spurred a massive rally and Tesla (NASDAQ:TSLA) CEO Elon Musk famously titled himself “former CEO of Dogecoin” on social media.
Essentially, Dogecoin is perfect fodder for the ongoing Reddit stocks rally. With GameStop (NYSE:GME) nearing $500 in pre-market trading, many are hoping to use some of that magic to take DOGE above the $1 threshold. Can those Dogecoin price predictions ring true?
It seems that the power of Reddit is already working. Approximately seven hours ago, Twitter (NYSE:TWTR) user WSBChairman posted “Has Doge ever been to a dollar?” Even though the user is not affiliated with r/WallStreetBets, the account racked up 400,000 followers and incited a new Dogecoin frenzy. Over at r/SatoshiStreetBets, which frames itself as the crypto version of r/WallStreetBets, DOGE is the talk of the town.
The Dogecoin price has already doubled in the last 24 hours. So, what comes next?
Dogecoin Price Predictions and a Reddit Rally
Redditors proved this week that r/WallStreetBets can pull off the seemingly impossible. They also can confuse the entire stock market while doing it. Taking just the recent moves in GameStop and AMC Entertainment (NYSE:AMC) as evidence, there is no reason those $1 Dogecoin price predictions cannot manifest. But beyond the Reddit rally, is there a case for Dogecoin?
Before the Reddit rally started, investors were flooding into Bitcoin and its cryptocurrency peers. We saw Bitcoin double in a few weeks, ultimately hitting a new high above $40,000. Along the way, it took other cryptos like Ethereum (CCC:ETH) and XRP (CCC:XRP) higher. And with the leading digital currency pulling back, we wrote recently that many are betting on bigger gains in the altcoin space. As of early January, DOGE looked to be one of the largest altcoin winners.
At the time, Ruchi Gupta analyzed the situation for Market Realist, concluding that knocking out $1 would be a huge deal for Dogecoin. Why? With its famous Shiba Inu and TikTok backing, many simply see DOGE as a meme. Taking out $1 could give it a whole new sense of legitimacy, perhaps elevating it to the status of some of its peers. Will Redditors be able to achieve their goals today?
Right now, Dogecoin still remains off its all-time high of $0.017586. However, with the influence and enthusiasm of Reddit, anything seems possible. Just remember how much risk and volatility is involved, and continue to do your own research.
On the date of publication, Sarah Smith did not have (either directly or indirectly) any positions in the securities mentioned in this article.
Sarah Smith is a Web Content Producer for InvestorPlace.com.