If You Invested $10,000 in Dogecoin in 2020, This Is How Much You Would Have Today
You probably don't need me to tell you this, but 2022 was a challenging year for crypto investors. Ironically, cryptocurrency Dogecoin (CRYPTO: DOGE) has remained one of the market's most lucrative investments over the past three years. Had you bought $10,000 of it three years ago, it would be worth an eye-watering $327,000 today!
That is pretty remarkable, considering Dogecoin declined by 60% in 2022. So, should investors load up for the next crypto bull market? I'll walk through what ultimately drives token prices, how recent events have affected the landscape across cryptocurrencies, and why investors should temper their expectations.
Despite being a meme coin created as satire, Dogecoin exploded in value over the past few years. In the space of just a few years the cryptocurrency minted millionaires. And as the chart below shows, it remains well above pre-2021 prices, even if it's nowhere near its former highs. So what caused it? Supply and demand drive the prices of cryptocurrencies, and the coin became a viral sensation when markets were highly bullish in 2021. Investors flocked to it, especially once Elon Musk publicly praised the token, something he's still doing today. Investors had a sense of FOMO, or fear of missing out.
Source Fool.com
