Dogecoin is a cryptocurrency prank that “shouldn’t really have gotten to this point” and will eventually become worthless.
That is the verdict of a panel of 54 industry experts brought together by Finder, a UK price comparison site, for its latest quarterly survey of the state of the cryptocurrency market.
Asked to predict the future value of the Shiba Inu-themed digital currency — launched as a joke in 2013, but driven to credibility last year by Tesla chief executive Elon Musk — 55% of panellists said they were headed for zero. Only 21% predicted a price recovery, while 24% said they weren’t sure.
Dogecoin exploded in value from less than $0.005 at the start of 2021 to a high of $0.76 in May of that year, on a wave of hype started by Musk and other highly followed celebrities on social networks.
The phenomenal price increase has secured the token’s place in the coveted top ten cryptocurrency rankings, with a peak market cap of over $85 billion.
However, as the broader market continued to appreciate until November 2021, Dogecoin immediately began to lose value and is now worth just $0.07, reflecting a still generous market cap of $9 billion dollars. Unlike most other leading cryptocurrencies, the token has no discernible use case in the real world or the metaverse.
It is literally just a coin from a surprised looking dog.
“We believe that cryptocurrencies like Dogecoin – which are completely useless and whose value is purely supported by the community – will not increase in value in the future,” said Kevin He, COO of CloudTech Group.
Patrick White, CEO of Bitwave, confirmed: “Doge was a coin that really shouldn’t have come here. Thank you, Elon.”
Unsurprisingly, when asked whether investors should buy, sell, or hold Dogecoin, 71% of the panelists recommended ditching the dog. Less than a quarter, 24%, said it was worth keeping existing stacks, while 4% of adventurers advocated staying in cryptocurrency for a long time.
However, the results were more confusing when it came to price predictions, with panelists apparently determining that Dogecoin had the potential to be swept up in a broader return to bullish market conditions, despite its lack of value in itself. The token was expected to end at $0.16 in 2022, before reaching $0.32 in 2025 and $0.64 in 2030.
“Doge is the only cryptocurrency in the Finder Cryptocurrency Report whose July 2030 forecast came in higher than when the panel made forecasts in January,” the company noted, citing an earlier price forecast of $0.54 for 2030.
He added: “Other altcoins have seen their 2030 forecasts drop much lower. The panel’s July 2030 projection for Binance Coin (BNB) is 27% lower than its January figure, with Solana (SOL) down 60% and Cardano (ADA) down 89%.
Musk’s enthusiasm for Dogecoin seems to be based on a philosophical belief that: “the most entertaining outcome is the most likely”.
The billionaire entrepreneur – who sold 75% of Tesla’s bitcoin holdings during the 2022 bear market – is earnestly stating that the meme coin “has potential as currency”.
His view is not shared by the vast majority of cryptocurrency experts, who point to a litany of issues with Dogecoin, including its weak tokenomics, poor network security and minimal development.