Dogecoin (DOGE) came into the spotlight during the 2021 bull market after mounting an impressive rally fueled by billionaire Elon Musk posting about the coin on his Twitter account. However, the meme coin has since lost most of those gains as the bear market has raged on. With Dogecoin sitting about 90% below its May 2021 all-time high, the question is now whether DOGE will ever reach $0.7 again.

Can Dogecoin Reclaim $0.7?

Dogecoin is still holding steady as one of the largest cryptocurrencies in the space but a worrying fact about the cryptocurrency is that it has an unlimited supply. Unlike Bitcoin whose supply is capped at 21 million or Ethereum which has enabled a burn mechanism to keep supply down, there is nothing keeping the supply of the meme coin down.

To put this in perspective, the supply of DOGE is currently increasing at a rate of around 5 billion coins each year. This translates to a 4% annual inflation rate, which is quite high especially when there is no way to reduce the supply.

However, the meme coin is one that is purely driven by hype so it tends to rely less on its tokenomics for its price movements and more on how the community is feeling about it. An example of this is Shiba Inu whose total supply is in the trillions and yet saw tremendous success in the 2021 bull market as well.

The possibility of DOGE reclaiming $0.7 remains high given that it still enjoys support from the likes of Elon Musk even during the bear market. It has also recently seen support from Burger King, one of the largest fast-food chains in the world, pushing its price higher.

DOGE Price Performance So Far

Dogecoin’s price so far has correlated with the performance of the general crypto market. Most coins are down significantly from their 2021 all-time high values and DOGE is no exception. But more importantly, the meme coin continues to follow the price trends of Bitcoin. This means that when bitcoin inevitably rallies again, then DOGE is likely to follow suit.

On its own, the meme coin has seen a rollercoaster of a month in March. Mid-March came with some gains for the digital asset, but the downtrend over the last two weeks has wiped out most of those gains, leaving Dogecoin in the red once more.

At the time of writing, DOGE is sitting at a price of $0.0843, down 0.97% and seeing 0.88% losses in the last week. Although DOGE is doing better than others, it is still one of the worst performers of the large caps over the last week.

Source: Bitcoinist.com
Original Post: Can Dogecoin Reach Its Previous ATH? Let’s Take A Look At The Facts

The world of crypto assets has seen significant growth in recent years, with the total market capitalization reaching over $3 billion in November 2021. A new sector within the cryptocurrency industry is poised to continue the trend and explode in growth terms. 

According to the decentralized finance expert under the pseudonym “Edgy,” the real-world asset sector (RWA) is set to change the course of the nascent industry. Edgy believes that the real-world asset sector could reach a market cap of $16 trillion by 2030, which could catalyze cryptocurrencies into the mainstream. 

What Is The Crypto Real-World Asset Sector?

The real-world asset sector uses blockchain technology to tokenize real-world assets, such as real estate, commodities, and other physical assets. Tokenization means converting ownership of an asset into digital tokens, which can be traded on a blockchain-based platform, making the asset more accessible to a wider range of investors. 

To tokenize a real-world asset, a digital representation of the asset is created on a blockchain-based platform. This digital representation is divided into smaller units, or tokens, that investors can buy and sell.  Once the asset has been tokenized, it can be traded on a cryptocurrency exchange like any other asset. 

With this said, Edgy suggests that certain factors can act as “catalysts” to propel the growth of the real-world asset sector toward the target of reaching $16 trillion by 2030. Here are a few of them:

• Amazon’s NFTs are rumored to be tied to real-world assets. The American multinational giant allegedly plans to launch its own NFT platform, which may be tied to real-world assets. 
• Moreover, Goldman Sachs launched GS Dap to tokenize traditional assets. GS Dap is a blockchain-based platform launched by the leading financial institution that allows traditional assets, such as loans and bonds, to be tokenized and traded on a blockchain-based platform. 
• Additionally, the technology company Siemens issued a $60 million bond tokenized on the Polygon Network. This bond was the first corporate bond to be issued using blockchain technology, demonstrating the potential of blockchain-based platforms for the crypto and real-world asset sectors.  

The “catalysts” mentioned earlier may only be a small part of the real-world asset sector’s potential and its ability to grow and impact various aspects of the global economy. According to Jeremy Allaire, the CEO of Circle, tokenized property and contracts will likely become commonplace within the next 5-10 years.

Allaire’s comments followed the news that Homebase, a company specializing in tokenized real estate, had successfully sold out its first tokenized rental property on the Solana blockchain in under two weeks. 

What Are Some Further Benefits For The Crypto Industry Of RWA

In addition to the potential for growth within the cryptocurrency industry, Edgy emphasizes the real-world asset sector’s benefits, such as cost savings, increased accessibility for smaller investments, and improved access to financing through tokenized assets.

By tokenizing assets, the RWA sector allows for direct ownership and trading of assets, cutting out intermediaries such as brokers and other rent seekers. If an investor cannot buy an entire property, they can buy a small portion. 

Additionally, tokenized assets can be used as collateral for loans, which can help businesses that may have difficulty accessing traditional forms of financing, which is beneficial for businesses in emerging markets, where access to capital may be limited. 

Overall, the sector’s benefits include increased accessibility and liquidity of traditionally illiquid assets, lower transaction costs, and greater efficiency in buying and selling assets. As the sector continues to evolve, more benefits will likely emerge, further driving the growth and adoption of the crypto sector.

Featured image from Unsplash, chart from tradingView.com

Source: Bitcoinist.com
Original Post: This Crypto Sector Will Grow To Trillion, Here’s How