Dogecoin Beat Bitcoin??!! Give me Five Minutes to Explain!!
Dogecoin was trading pennies when it all started and is now trading at 50 cents. Elon Musk said that he will not be accepting Bitcoin for Tesla. According to a statement, mining Bitcoin requires vast amounts of energy, which negatively affects the climate.
The difference between Bitcoin and Dogecoin
The difference between Bitcoin and Dogecoin is the fact that Dogecoin is relatively affordable, at least for now. Just wait until Dogecoin price suddenly rises and the currency begins trading in the high hundreds.
For now Dogecoin is back to trading historic lows, if one can call it that. In the last three weeks, the currency has traded close to a dollar and then back to 50 cents.
However, the difference between Doge and Bitcoin is that its supply is unlimited, essentially causing the price to fall. Some have argued that the price of dogecoin will effectively get to zero due to the large number of coins that are issued every month, currently estimated at about one hundred and thirty billion dollar coins as of May 9th.
Good news for Dogecoin as it is gaining broader acceptance
If people who afford Tesla choose to buy Dogecoin, the price could rise to well above a thousand dollars. Dogecoin is accepted by a raft of businesses across North America and Europe. This means that broader acceptance will cause the price of the currency to soar.
Dogecoin has rallied more than all cryptocurrency in 2021. The Dallas Mavericks and broadband companies in Canada are just two of the businesses to accept Dogecoin. There will be a sudden dry up in supply and an increase in demand driven by acceptance across various platforms. Oakland Athletics joined the Dallas Mavericks as another sports team to recognize Dogecoin as a means of payment.
It’s a mind boggling way to see the cryptocurrency use more than ten thousand percent gain this year. The first Dogecoin trade in Major League Baseball history was made when the Yankees sold a suit for a single game last month. As the currency gets accepted and supply dries up, the price will tend to rise in conclusion. But this will be contingent on supply and the projected increase in demand because it is being accepted as a payment.