The Shibe nation has seen some hectic times during these last few weeks. There have been highs of 275 and lows of 162. With such dramatic fluctuations in price, it can be difficult to predict where Dogecoin is headed next. Lets consider some of the following factors:
1. As of January 30th, there are about 80,000 blocks mined. The reward will be halved once we reach the 100,000th block which is estimated to occur in 11-13 days. No one knows what kind of effect this will have on the price. Miners could deem Dogecoin no longer profitable and stop mining. As a result, all the big time miners disappear; however, this opens up some doors for the rest of the Dogecoin community. Consider this: could small time miners that have been shoved out by big time miners potentially fill this void? I am interested to see what will happen.
2. Chinese New Years is a massive holiday in China. Unlike New Years in western countries, Chinese New Years is not one day. Traditionally, the holiday lasts two weeks but it isn’t unusual for some Chinese to be back to work by the end of the first week. Don’t expect the volume to increase significantly until the Chinese return from their holiday. The Chinese are big players in the cryptocurrency game. We will need them for success. Coincidentally, their return will be around the same time the reward halves.
3. One of the largest reasons Dogecoin has stagnated these last few days (at least on Cryptsy) is due to Cryptsy’s introduction of new cryptocurrencies to the exchange. Both FedoraCoin and MoonCoin have seen some insane volume these last few days. Day traders follow the volume. As the community begins to anticipate the halving of the reward block, I suspect the hype surrounding FedoraCoin and MoonCoin will subside and traders will return to trading Dogecoin.
It wouldn’t surprise me to see the price remain in the 180-210 range for these next few days. I predict the value of Dogecoin will continue to rise as we approach the second week of February. We have seen 275 satoshi before and I think we can see it again. The Dogecoin community is huge and day traders will be looking to profit from this popularity. Also, lets not forget – with Dogecoin’s recent appearance in the news, it’s safe to say “Houston: We are go for launch”
What is my suggestion to you?
Hold. Don’t fall prey to the day traders. They will be manipulating the price. Don’t panic. Have faith in the Shibe. We will see 300 satoshi soon.