The investing information provided on this page is for educational purposes only. NerdWallet, Inc. does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks, securities or other investments. It is a fork of the Bitcoin and Litecoin codebases with some modifications, including its total supply and block time. Similar to BTC and LTC, DOGE is a payment coin that relies on a proof-of-work consensus that requires miners to run hardware to generate new blocks and support on-chain transactions. Dogecoin and Bitcoin also use different transaction fee structures.
When the Fed paused the hikes in late 2023, Dogecoin joined in the crypto rally, surging 43%. Dogecoin’s price is affected by news and social media, and its price moves in concert with other cryptocurrencies. Dogecoin is a cryptocurrency that has a passionate user community and a really cute mascot. Overall, KuCoin is a platform that is extensively geared towards traders. Users that not only want to purchase Dogecoin, but also want to capitalize off its price volatility, will find KuCoin to be the perfect exchange for its needs.
Navigating Through eToro’s Unique Features
The original idea behind Dogecoin was to create a more memorable cryptocurrency project to help the public understand the technology behind blockchains. Since then, Dogecoin has become an icon in the internet-powered retail investor era we live in today. One of the main benefits of DEXs is that they offer a high level of security and privacy. Since DEXs do not hold user funds or personal information, they are less vulnerable to hacking attacks than centralized exchanges.
- Bitcoin is a well-respected market leader among digital currencies, while Dogecoin is a “meme currency” with a cultish following.
- You can open an eToro demo account to practice your trading strategies, see how the platform works, and try out the copy trading feature.
- Dogecoin is a risky, volatile investment, and should only be purchased if you’re in a strong financial position and can afford to lose whatever money you might put in.
- Traders on Gemini can make instant purchases using a bank card, or deposit fiat currency using wire transfers or ACH.
- For more sophisticated investors Kraken also offers futures and margin trading.
The trading view is completely customizable with the assets that you trade the most and is very easy to navigate while providing a modern feel on both desktop and mobile. It is a very popular and suitable choice, particularly for new traders. DOGE is based on Luckycoin (LKY), which is based on Litecoin (LTC)‘s blockchain ledger.
Is Dogecoin a good investment?
Although it was founded relatively recently in 2017, the exchange arguably plays the most important role in the growth of cryptocurrency. These are the best online exchanges where you can get yourself some Dogecoin. The main technical difference between the two assets is that Bitcoin’s supply has an upper limit, while DOGE will be issued indefinitely. Limiting supply increases scarcity, which can put upwards pressure on values. DOGE is uniquely susceptible to price shocks thanks to its backing by Twitter owner Elon Musk. For example, Musk changed the social media platform’s logo to the altcoin’s mascot and its value jumped by around 30%.
Recent Dogecoin developments
Instead, transactions are processed and verified by a network of computers around the world, and new coins are created through a process called mining. Dogecoin can also be found on decentralized exchanges, where you can coordinate peer-to-peer transactions. Although DOGE is now its own distinct, multi-billion-dollar crypto, it offers no unique utility in the digital currency and payments space. Before investing in Dogecoin, make sure you explore DOGE price prediction data and closely evaluate the risks.
How Can I Trade Dogecoin?
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Unlike a bank account holding fiat currency, cryptocurrencies like DOGE aren’t protected by the Financial Services Compensation Scheme. This means investors would not be entitled to reimbursement if their DOGE were stolen, they lost their access codes, or if the exchange/broker in question went bust. Dogecoin is a currency, so its value is derived from user adoption and utility. This being said, many investors agree that Dogecoin is a bubble, so you should still be weary of investing in a meme coin with a multi-billion dollar market capitilization. While there may still be room for Dogecoin to grow, there is certainly room for Dogecoin to fall in price. Pionex is a unique auto-trading app that helps you manage your crypto assets when you have no time or want to generate a passive income with little to no effort.
Billy Markus and Jackson Palmer established Dogecoin in 2013 as a “meme’ or “joke” cryptocurrency. However, people, including high-profile individuals like Elon Musk, took the “joke” coin seriously. And online brokerages like eToro make it easy and quick to buy, hold, and sell DOGE. Let’s look at how to buy Dogecoin on eToro the hassle-free way, below. If more companies begin accepting Dogecoin in return for goods and services, it could demand more value. However, it should be considered a speculative investment for investors with a high risk tolerance.
You can choose from 1 of the 18 trading bots Pionex has created, you only pay maker and taker fees of 0.05% and the bots handle everything else. 2021 was a monumental year for how to read stock charts Dogecoin – the cryptocurrency appreciated multiple times over in price before crashing back down. After peaking above $0.70, Dogecoin is now trading at around $0.11 in 2022.