Dogecoin (DOGE), the primary meme cryptocurrency fueling the decentralized Dogecoin blockchain, surged to heights above $0.095 on Tuesday. This upward momentum follows the news that Elon Musk’s X.AI company is planning to raise $1 billion through an equity offering, according to a filing with the SEC.
X.AI represents Musk’s recently introduced artificial intelligence startup, revealed earlier this year when he rebranded Twitter as X Corp. Musk, who acquired Twitter in 2022, aims to transform the social media platform into an all-encompassing “everything app.” Simultaneously, he established X.AI with the purpose of comprehending the universe.
Given Musk’s substantial influence and continuous vocal support for Dogecoin over the past two years, the cryptocurrency is particularly responsive to developments related to Elon Musk, his ventures, and now, seemingly, his company X.AI. Musk has frequently tweeted about and hinted at Dogecoin’s potential role in future financial services on the X platform.
In the broader crypto market, DOGE is currently benefiting from positive sentiment, with Bitcoin reaching its highest levels since April 2022 on Tuesday, surpassing $44,000. Dogecoin has already witnessed a more than 12% increase this month and a remarkable 60% rise from October’s lows.
Supported by robust technical indicators—DOGE consistently finding support at its 21-day moving average in recent weeks and breaking above a long-term pennant structure in early November—and fueled by optimistic expectations for imminent Bitcoin ETF approvals and a dovish Fed policy pivot in the coming year, the likelihood of Dogecoin reaching $0.10 appears imminent.
![](https://sollcrypto.com/wp-content/uploads/2023/12/Screen-Shot-2023-12-06-at-11.13.01-AM.png)
Is a $1.0 Price Target Attainable for Dogecoin (DOGE)?
Dogecoin presently boasts a market cap of approximately $13.4 billion.
While some may argue that this valuation is excessive for a cryptocurrency initially conceived as a joke, critics often overlook two crucial factors. Firstly, Dogecoin possesses a vast and fervent base of engaged supporters. Secondly, unlike most other prominent meme coins, Dogecoin operates on its independent layer-1 blockchain rather than as a token on Ethereum or another blockchain.
Despite its blockchain encountering scaling challenges similar to Bitcoin’s, Dogecoin stands out as arguably highly decentralized. It holds promising potential for genuine adoption, particularly with the ongoing support from Elon Musk.
The question arises: could Dogecoin reach a price of $1 per token, marking an increase of more than 10 times the current levels?
Considering the current supply of around 142 billion tokens, achieving a price of $1 would imply a market cap of approximately $142 billion. While this is a substantial figure, it is worth noting that if Bitcoin is expected to reach a market cap of $10 trillion or higher to compete with gold, Dogecoin hitting a market cap of over $100 billion—merely a fraction of Bitcoin’s potential valuation—seems plausible.