Dogecoin Price Prediction: Crypto Industry in Danger, Shark Tank Investor Calls Doge a Gamble

Dogecoin Price Prediction: Crypto Industry in Danger, Shark Tank Investor Calls Doge a Gamble
The cryptocurrency market is facing another blow as U.S. legislation is looking to tax crypto profits leaving traders and investors nervous. Kevin O'Leary is skeptical of the meme-based Dogecoin, choosing to invest his assets in more secure tokens. Photo : Executium/Unsplash

The cryptocurrency market has always been a volatile one, and it is currently trying to get back into the swing of things after some negative sentiments across the obard the past few weeks. As prices for the majority of the crypto tokens dip, some investors think it is the best time to purchase some crypto coins, like Dogecoin. However, experts warned against purchasing Dogecoin and different cryptocurrencies in general.

Volatility in the Cryptocurrency Market

Currently, things look optimistic for investors as Bitcoin and Ethereum are climbing to really impressive gains, per Forbes. Bitcoin was able to reach a high of $43,000, the highest price for BTC since mid-May. Ethereum was also able to get a boost to $3,000 per token.

Currently, the crypto market has added $250 billion over the last seven days and is now nearing $1.7 trillion.

Although things look okay and back on track for investors, traders are starting to get nervous as a $55 billion bipartisan infrastructure bill is currently making its way through the U.S. legislature. This includes a provision to raise $28 billion from crypto investors that has some people believing it could "kill" the industry.

This bill proposes taxing Bitcoin and cryptocurrency profits to fund American infrastructure investments. The definition of a broker in this bill is being widened to the extent that crypto exchanges and wallet providers need to collect more information about their users than they usually do, stripping away the appeal of crypto being anonymous.

The documents is proposing a clearer broker-to-broker reporting of digital assets.

Atty. Jake Chervinsky took to Twitter to express his thoughts on the matter, though of course, his tweets are not legal or financial advice. He believes that the provision may do more harm than good to U.S. interests. He agreed that things are moving fast which can feel scary, but he does want everyone to calm down and not panic as the provision is not final yet and can still be changed.

Read Also: Is Dogecoin a Good Investment? Price History, Major Benefits and More

Dogecoin Price Prediction: Doge Is a Gamble

According to Kevin O'Leary, chairman of O'Shares ETFs, investor in the show "Shark Tank" and the new "Money Court" judge, he has no plans on making the meme coin a part of his portfolio, said CNBC. O'Leary owns BTC and ETH, but he does not participate "in that kind of thing" referring to Dogecoing. He stated how he does not understand why anybody would.

To the business mogul, DOGE has no inherent value other than what other people want to do as they speculate. He likens it to going to Las Vegas and betting your money on red or black.

O'Leary shared how his team has done a "deep dive" into the cryptocurrency market. They see a value in certain parts of the market and even mentioned how 10 percent of his operating company's holding are made up of digital tokens like USD C, BTC and ETH.

Dogecoin lacks the scarcity of Bitcoin as it operates on an unlimited amount of the coin, and it also lacks the security of Bitcoin.

Experts are warning investors to be cautious of investing in meme coins and altcoins as you may risk losing nearly all the money you put in. Only buy as much as you can afford to lose.

Related Article: Elon Musk Supports Dogecoin, Bitcoin Again: Will It Spark Massive Surge?

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