Preparing for a Dogecoin Bull-Run: When to Sell Dogecoin

Dogecoin (DOGE) is an open-source cryptocurrency created in 2013 by two software engineers, Bill Marcus and Jackson Palmer. It uses the same technology as other cryptocurrencies like Bitcoin and Litecoin. However, it has its own improvements, like faster access speeds and cheaper transactions. In 2021, Dogecoin became the ninth-largest cryptocurrency according to market capitalisation. 

Like other crypto markets, there seems to be a potential Dogecoin bull run. In this article, we’ll examine the factors that influence a Dogecoin bull run and give you tips to help you decide when to sell your Dogecoin.

Understanding the Dogecoin Ecosystem

Dogecoin is not like the others. While other cryptocurrencies aim to be scarce and limited, Dogecoin does its thing differently. It uses an inflation model, which allows for the supply of the coin for a controlled period of time and will change according to inflation trends. Its ecosystem is also hinged on two things:

• Utility: DOGE is being widely accepted as a payment method by some merchants.
• Community: Dogecoin is meme-driven by a community that influences its price through social media and celebrity endorsements, particularly by Elon Musk.

Factors that indicate a bull run

Predicting a cryptocurrency’s price trend is not easy. However, here are some things that can help you recognise when Dogecoin is about to enter a bullish season:

1. Market Sentiment: 

A bullish cryptocurrency market can affect many things, including Dogecoin. When Bitcoin and Ethereum experience significant gains, it can create a domino effect, boosting Dogecoin’s price.

2. Social Media Buzz: 

Dogecoin thrives on social media hype. Positive sentiment and trending Dogecoin hashtags can encourage buying, and its price will increase.

3. Elon Musk Tweets: 

Elon Musk’s tweets have a huge impact on Dogecoin’s price. Whenever he tweets his support for the meme coin, the price can increase.

4. Developments in the Dogecoin Ecosystem: 

Merchants have started adopting Dogecoin by working with popular payment platforms, and upgrades to the Dogecoin network could all lead to a bull run. 

Things To Keep In  Mind When Selling Dogecoin During A Bull Run

1. Target Price:

 When selling, it’s important to have a target price. This price could be based on past sales prices or your own profit goals. 

2. Profit Percentage: 

Just like setting a target price, have a profit percentage you’d be happy with. For example, if you bought the coin at $0.20 and the price reaches $0.40, you have gotten a 100% gain. You can consider selling at this point. 

3. Trailing Stop-Loss: 

Create a trailing stop-loss order that automatically sells your coin if the price falls below a certain percentage. This way, your profits are protected while you get to enjoy the bull run if it continues.

4. Time-Based: 

If you have an investment timeframe, it’s best to sell your Dogecoin when the timeframe elapses, notwithstanding the current price.

5. Your Risk Tolerance: 

Dogecoin is a fragile asset and if you’re not that much of a risky person, it might be wise to sell your coins earlier in a bull run to secure profits.

Frequently Asked Questions (FAQs) About Ways to Maximize Profits When Selling Bitcoin

Is Dogecoin a good investment?

This depends on your own individual preference and risk tolerance. For those who see a long-term prospect behind decentralisation, Dogecoin may be a worthwhile purchase.

How much does it cost to buy 1 Dogecoin?

Dogecoin is known for its constant fluctuations. As such, there’s no fixed rate. When you want to buy Dogecoin, it’s best to use real-time price monitors to determine its price per time. The Breet in-app calculator is your best bet for monitoring these prices for you. 

How to trade Dogecoin?

You can trade Dogecoin with apps like Coinbase, Kraken, and OkX, which are some of the best crypto apps. You can also sell Dogecoin for cash or swap it for another crypto by using the Breet app. All you have to do is choose the crypto you want to swap to, enter the recipient address, confirm the details, and wait for a confirmation message. 

Is Dogecoin safe to buy?

Yes, Dogecoin is safe to buy. You don’t have to worry about fraud or scams.