Can Dogecoin Reach $1 in the Next 12 Months?

If there's one cryptocurrency that deserves to be in the crypto doghouse right now, it's Dogecoin (CRYPTO: DOGE). This dog-themed meme coin is down more than 30% this year and now trades at a head-spinning 90% discount to its all-time high of $0.74 from May 2021.

Dogecoin has had more than five years to turn things around, but has never come close to regaining the hype and buzz it had during the meme coin mania of 2021. Long story short, Dogecoin's chances of hitting $1 within the next 12 months are minimal, and here's why.

If Elon Musk couldn't turn things around, nobody can

For more than five years, billionaire Elon Musk has been one of the highest-profile supporters of Dogecoin. He has posted about it on social media countless times, appeared in public wearing a Dogecoin T-shirt, and even made a guest appearance on NBC's Saturday Night Live as "the Dogefather."

Elon Musk has also talked up potential Dogecoin payment integrations with his various companies, including both Tesla (NASDAQ: TSLA) and SpaceX (NASDAQ: SPCX). Last year, he even went so far as to name an entire government initiative DOGE.

Image source: Getty Images.

But to what effect? Yes, Dogecoin briefly rallied to almost the $0.50 price point in late 2024 based on all the hoopla around the new Department of Government Efficiency (DOGE) as well as the soaring price of Bitcoin (CRYPTO: BTC).

But then it crashed back to earth, and it now trades for mere pennies. Right now, Elon Musk is a very polarizing figure, and it's easy to see why his comments about the cryptocurrency fail to move the needle as much as they once did.

So here's the big takeaway: If Elon Musk can't send Dogecoin soaring to a price of $1, it's unlikely anyone else can. Just take a look at the numbers from the online prediction markets. Right now on Kalshi, there's only a 3% chance of Dogecoin hitting $1 by January 2027, and a 9% chance of it hitting $1 by June 2027.

Should you ever invest in meme coins?

At the end of the day, meme coins have never been a suitable long-term investment. They are risky, speculative, and volatile. Their value is based entirely on hype and buzz, and as soon as the hype fades, the price crashes. Even worse, the meme coin market is saturated right now.

In its entire history, Dogecoin has never traded higher than a price of $0.74. What makes investors think it will magically turn things around after trending to zero over the past five years? If you're looking for a cryptocurrency with explosive upside potential, you can safely ignore Dogecoin for now.

Dominic Basulto has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin and Tesla. The Motley Fool has a disclosure policy.