Frequently asked questions
Dogecoin is a digital currency, which was started as an internet meme. Its intention was to make fun of the wild speculation surrounding cryptocurrencies.
The joke kind of backfired, when Dogecoin became a form of speculation used by millions around the world. Also new developers joined the project, aiming to make the digital currency competitive in terms of scalability and fees.
DOGE is the ticker name for Dogecoin, just like FB is the ticker name for Facebook stocks.
Crypto exchanges define the price of Dogecoin based on the number of people willing to sell and buy the currency. If there are more buyers than sellers, the price will rise.
That said, Dogecoin's price is heavily influenced by media coverage and influencers. Most importantly, Elon Musk is a big fan of the digital currency and his tweet can move markets. Finally, as more and more people view Dogecoin as a worthy investment, demand for the coin, and consequently the price rises.
The easiest way to buy Dogecoin is on a crypto exchange.
A crypto exchange (or cryptocurrency exchange) is a marketplace where buyers and sellers trade cryptocurrencies. Just like regular stock exchanges, a cryptocurrency exchange serves as a middleman who sets the market price at which an equal number of buyers and sellers can be found.
Is now a good time to buy Dogecoin? Frankly, we don’t know.
But there are several strategies when it comes to crypto investing. One approach is to buy in when price slips. In the crypto community this strategy is known as "buying the dip" (BTD).
Another strategy is dollar-cost averaging: investing a certain amount of money on a set schedule, say $100 every Monday morning. Dollar-cost averaging seeks to average out the lows and highs over time.
No matter which strategy you choose, Cryptoradar’s price alerts help you to not miss a dip, and adhere to your investment schedule.
There are risks associated with any investment. Crypto markets are particularly volatile, with large upswings and downswings. Only invest as much as you can afford to lose.
When it comes to choosing a crypto exchange, there are also a couple of thinks to be wary of.
Before you can start trading, a crypto exchange will ask you to verify your identity. This is necessary because of anti-money-laundering laws. The verification process and time can differ significantly and take anywhere from minutes to weeks.
All crypto exchanges charge a fee or a spread to finance their operations. Fees can differ significantly among exchanges, so make sure to get a good deal.
Additionally, make sure that your preferred crypto exchange supports the payment methods of your choice, but be aware of any additional payment fees that may apply.
Last but not least, if you’re new to crypto, make sure that your chosen platform is easy to use and has good customer support. This helps you avoid making costly mistakes.
Getting started with crypto can be hard. Our detailed price comparisons and cryptocurrency guides have you covered.