Key Highlights:
- Dogecoin vs Tron at the moment both Dogecoin and Tron trade below $1;
- The 2023 market sentiment could help both tokens in nearing the $1 mark,
- $1 might be a long shot.
Dogecoin (DOGE) and Tron (TRX) are both vibrant crypto projects with healthy prospects. Both cryptocurrencies, however, are currently trading at fractions of a cent to hundreds of percent of their all-time highs.
Considering that the broader cryptocurrency market is expected to record some notable recovery in 2023 and has already begun January on a strong footing, an interesting question to ask is which of our cryptocurrencies in focus—Dogecoin or Tron—can reach the $1 mark in 2023.
As we know, both cryptocurrencies have unique characteristics and price-driving dynamics, which makes plotting a direct comparison and predicting which one has a better chance of reaching $1 this year a difficult task.
Regardless, we’ll give it a shot by highlighting the factors that could play in favor of each cryptocurrency over the other in reaching $1 in 2023.
Factors Working in Favor of a Dogecoin Move to $1
A Crypto Market Breakout
The crypto market has been through its ups and downs over the past few years, but one thing is for sure: 2023 is shaping up to be a big year for the industry. With the perfect setup for a meme coin rally, we can expect to see a lot of upbeat, speculative sentiment pulling in new retail investors who are hoping to make a quick buck like most traders.
This bullish market rally will push up all coins at once, garnering a lot of media attention and encouraging retail investors to get back into the market. One coin that has a history of impressive market rallies is Dogecoin.
In March 2017, Dogecoin surged more than 1,500%. In January 2018, the crypto broke the $0.01 mark with another impressive surge. And in early 2021, there was a nearly 10,000% rally, fueled in part by a massive Bitcoin rally happening at the same time.
These past rallies show that the potential for a big market rebound in 2023 is there, and we can expect to see some exciting developments in the crypto industry in the coming year.
The Elon Musk Factor
Another key factor that could whip up massive momentum for DOGE to finally hit is none other than entrepreneur extraordinaire, Elon Musk.
Musk has become one of Dogecoin’s biggest supporters, often promoting its features and benefits on social media. He even declared himself “The Dogefather” in an appearance on NBC’s Saturday Night Live in May 2021.
It’s no surprise that Musk’s $44 billion acquisition of Twitter in 2022 had a major impact on Dogecoin’s price action. The crypto briefly spiked when the deal was announced in April after Musk suggested that Dogecoin would be integrated into Twitter at some point. And when the deal was finalized in October, the cryptocurrency spiked again. However, it never went any higher than $0.15.
So, what does this mean for the future of Dogecoin? It’s likely that for the cryptocurrency to reach its goal of $1, Musk will need to announce a plan for full crypto integration into Twitter, making Dogecoin the preferred payment option for Twitter users worldwide. It will be interesting to see how this plays out in the coming months and years.
Factors Working in Favor of a Tron Move to $1
Again, a Crypto Market Breakout
Like Dogecoin, the most important factor for TRX to attempt the $1 mark in 2023 is broader market sentiment and momentum. TRX will largely have to rely on media hype and market frenzy to record the kind of rally needed to see this cryptocurrency reach its expected high. And truth be told, Tron hasn’t had the best media coverage recently. Earlier this year, Huobi was in the news following insolvency chatter. Given the exchange’s close ties to Tron, the news had a negative impact on the cryptocurrency.
Tron Is a Crypto Economic Powerhouse
Although crypto discourse can often wander into a philosophical debate, these pontificators often forget that most people simply want a product that works and is cost-efficient. That’s exactly what they are getting with Tron. Tron is fast, it gets users’ money from point A to point B safely and reliably, and it is remarkably cheap—fees on Tron cost less than a penny.
Image Source: Google Images
Tron is particularly popular with users in emerging markets who want to transact in dollar-denominated stablecoins. As we know, Tether (USDT) was issued on the Tron network, making the network a major economic engine in the crypto space, which should continue to favor the value of the TRX token.
Is $1 in 2023 a Realistic Price Target for Dogecoin VS Tron ?
First, let’s consider the current price of Dogecoin. At press time, DOGE is trading at $0.09. For it to reach the $1 mark in 2023, that would mean the cryptocurrency would reach an all-time high and rally by a whopping 1011%.
Source: TradingView | DOGE/USD Monthly Chart
Apart from that, if Dogecoin were to reach $1, it would also give the cryptocurrency a market capitalization of $132 billion. This would make Dogecoin the third-most valuable cryptocurrency in the world, behind Bitcoin and Ethereum.
For Tron, the cryptocurrency currently trades at $0.06, meaning a move to $1 would require TRX to rally by at least 1566%. This would also give Tron a market capitalization of $91.84 billion and rank it third behind Bitcoin and Ethereum.
Source: TradingView | TRX/USD Monthly Chart
Given that the market is becoming more mature as institutional investors troop in, it might be difficult for the market to record 2020–2021-like rallies, making it a bit unfeasible for either of the mentioned cryptocurrencies to reach the $1 mark in 2023. However, a lot could change between now and the end of 2023, so I cannot rule out the possibility of this move.
To sum up, Dogecoin and Tron possess distinct features and applications, but determining which one will hit $1 by 2023 is highly uncertain.
If I had to predict out of both (Dogecoin VS Tron) tokens has a chance of hitting $1 in 2023, I’d say DOGE considering it has traded closer to that price level before (ATH: $0.73) than TRX (ATH: $0.35). Also, I see DOGE’s popularity and volatile nature working for it and, overall, pushing it ahead of TRX in 2023.
