The digital currency “Dogecoin” or dog currency, we are not here to detract from its value because it is already a currency with a logo and a dog’s name 🙂

The digital currency “Dogecoin” has become the talk of many, as it pumps from time to time and its value doubles every time Elon Musk tweets about it.

Last Monday, the coin rose to $0.087, driven by supportive tweets from Elon Musk, Snoop Dogg and many others.

A sounding board in the r/dogecoin section of the Reddit forum revealed people who were transferring their credit cards, investing life savings as they describe, and bragging about having “diamond hands,” a term for holding their positions indefinitely in Dogecoin. “.

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While a few investors expressed what could be described as conservatively optimistic views, most of them focused on what kind of Ferrari he would buy when the Dogecoin hit $1,000.

This obsession with the digital currency “Dogecoin” is not expected to end anytime soon.

The growing interest in the digital currency “Dogecoin” proves that cryptocurrencies do not have justice and equality in terms of interest and value of the currency.

While there are strong projects, their cryptocurrencies are unpopular and therefore lacking in adoption and therefore poor value and vice versa.

And the question here:

Is Dogecoin really worth investing in?

It can be said that the governments of the world have a monopoly on two things: violence and currency.

The monopoly on violence was, in many respects, one of the greatest innovations in human history.

Simply put, this indicates that the notion that only government-sanctioned institutions, such as the police or the army, are entitled to use violence in a particular area when appropriate, and the degree of this violence varies according to the situation and the region in which it is practiced.

Read:Venezuela proposes to “OPEC” to adopt the “Petro” digital currency as a means of payment

The second monopoly is currency. The emergence of Bitcoin and decentralized finance is becoming existentially threatening central government currencies and the ability of banks to control the money supply.

Historically, whenever a monetary competitor appeared, the sooner it was eliminated by the powers that be.

But bitcoin is a different story.

Perhaps due to the issue of timing, or perhaps due to the nature of the work of the currency that is based on a mainly decentralized system, this is why the Bitcoin currency increased in spread and expanded its adoption to the point of attracting large investment institutions.

While many other alternative cryptocurrencies have followed the path started by Bitcoin, no cryptocurrency has been able to match Bitcoin in terms of value or institutional rhetoric.

Dogecoin is one of the old currencies in the market, but it was established for various reasons, not to implement a project or service a goal, but rather for the purpose of joking on Bitcoin and other digital currencies.

The cycles of pumping and unloading that the coin goes through are often dramatic.

Currently, Dogecoin is driven by hype, but hype does not make coin.

Read:Will the “Three Arrows Capital” hedge fund that manages billions of dollars in crypto collapse? Here’s what’s going on

Celebrity adoption is great, but it’s the institutional money that really matters and makes the difference.

If Elon Musk and Snoop Dogg love the coin and even their great influence on the followers, this does not mean much, as the rise of the “Dogecoin” coin is the result of a unique intersection between hype and lack of knowledge.

It is the institutional investors and their money that makes the difference.

Bitcoin has moved in a big way recently after Tesla announced the adoption and investment in Bitcoin, which made the performance of the currency beat and speak louder than any tweet.

Bitcoin has approximately $831 billion in total market capitalization, with only about 1% of this money coming from institutional sources.

But that appears to be about to change.

Major institutions such as Goldman Sachs are preparing to join the likes of Skybridge Capital, Tsangs Group and other financial institutions that own Bitcoin.

This indicates that Bitcoin has been, and will likely continue to be, the winner in the “survival of the fittest” cryptocurrency battle we are witnessing.

Crypto is the future, but be careful.

It is true that crypto allows transactions without borders and without dependence on third parties, quickly and with lower fees, and it is likely that decentralized finance will open up new areas and horizons.

But not all digital currencies are equal, as we have told, some of them may be inflated and amplified by the media, and may end in a tragic end.

What we would like to say is the interest in practical digital currencies that have a project and a clear goal and are accepted by investment institutions and represent a development in the crypto path, meaning sticking to the existing currencies that have proven themselves, expand and develop naturally and not as a result of pumping them by certain parties.

This is not investment advice, but it is a warning and awareness of the need to research and explore more before investing in any digital currency.

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