The stock market has a rough start in 2025. As of March 4th, the S&P 500 and Nasdaq composite had fallen by 1.5% and 5.2%, respectively.
Broadly speaking, when the stock market is performing poorly, investors can transfer funds to alternative assets such as commodities and cryptocurrencies. But so far, the crypto market hasn’t been lush with lush this year. The top two cryptocurrencies, Bitcoin and Ethereum, fell by 7% and 36% respectively, with others continuing after that.
DogeCoin will be participating in the cohort for crypto sales (Cryptography: Doge). After an increase of 251% in 2024, prices have so far increased 36% this year.
But is buying dips at Dogecoin a smart idea now?
Although Dogecoin prices rose significantly last year, the chart below should help you draw a clearer picture of what actually happened with cryptocurrency. As you can see, the majority of Dogecoin’s profits in 2024 came in the last two months of the year.
The rising price rise of Dogecoin can stem from the presidential election. During the then Donald Trump campaign, Tesla CEO Elon Musk emerged as a major agent and a large donor for the Republican candidate. One factor affecting Musk’s relationship with Trump was their common view that the federal budget was too bloated. As a result, Musk came to the idea of creating a team focused on identifying unnecessary spending that could be reduced.
Name he and Trump awarded to the initiative: Department of Government Efficiency (DOGE).
If you look closely at that price list, you will notice that Dogecoin prices have actually begun to fall towards the end of 2024. It has fallen 53% since December 1st.
If you follow Mask before the election, you may know that entrepreneurs have jokingly supported Dogecoin several times in the past. It is possible that mask’s comical affinity played a role when the name was chosen for the cost-cutting initiative. But at the end of the day, Doge is just a clever acronym. There is no specific relationship with cryptocurrency.
Furthermore, Dogecoin remains a meme coin with little or no use in the real world and in the digital world. In my opinion, the sale that began in December was the first Domino to drop. The bubbles began to shrink as investors began to reflect the fact that the coin rose to pure hype that was unrelated to the actual valuable catalyst.
The story continues