Dogecoin: Will it reach an all-time high this week?

Dogecoin continued to see its value spiked to a new level, reaching a worth of $40 million in total. And it’s seeking an all-time high. But analysts and experts recently said investing too much into cryptocurrency could become a problem for people.

Dogecoin seeks all-time high

Dogecoin has been seeking a spike in value in recent weeks, as I’ve written for the Deseret News. Much of the rise can be attributed to the internet-only Doge Day and the fact that Tesla CEO Elon Musk and Dallas Mavericks owner Mark Cuban have been tweeting about it.

Dogecoin is expected to hit an all-time high, according to Yahoo! Finance.

• The cryptocurrency reached $0.45 from April 15 to April 16, which was an all-time high for Dogecoin. But there was a drop after that with the price per dogecoin dropping to $0.169, Yahoo! Finance reports.

According to Yahoo! Finance, the Dogecoin market is trending upwards, which might lead to a new all-time high.

• “Doge has likely begun a new bullish impulse and could increase toward a new all-time high price,” according to Yahoo! Finance.

Why do people invest in Dogecoin?

Multiple experts told Bloomberg that people are investing in Dogecoin for a number of reasons, most of which don’t have to do with earning money at all and more about being apart of the cultural movement of the meme-based cryptocurrency.

Jeffrey Halley, the senior market analyst at Oanda Asia Pacific, which helps trade traditional currencies, told Bloomberg that Dogecoin’s appeal is that it is cheap.

• “Dogecoin has no apparent commercial or investment use other than as a conduit for speculative mania and the attempt to make a buck,” he said. “I suspect much of its appeal lies in the fact that it is very, very cheap to buy and sell, as opposed to $60,000 for Bitcoin, making it much more approachable to a retail trader who fancies a flutter.”

Curtis Ting, managing director for Europe at the cryptocurrency exchange company Kraken, told Bloomberg that Dogecoin is part-meme and part-money, so it’s adding this psychological effect where people invest as a joke, which leads to the cryptocurrency being worth more.

• “Investors buy Dogecoin to participate in a self-deprecating joke about their inability to invest wisely, which keeps going as the price of an individual dogecoin continues to appreciate,” Ting said.