Why The Dogecoin 3.49% Annual Inflation Is Actually Not A Bug

Dogecoin, despite its meme coin origins, has a deliberate economic design focused on long-term stability. Its annual inflation rate of approximately 3.49% is a feature, not a bug, designed to ensure network health. The current circulating supply is about 151.36 billion DOGE, with 5 billion coins added yearly. This fixed issuance model incentivizes miners and promotes spending over hoarding. Dogecoin's inflation rate is projected to gradually decline over time, potentially becoming increasingly stable. Technical analysts are observing bullish short-term price signals, namely a "Bull Flag" pattern. This pattern suggests a potential breakout to around $0.43, quadrupling Dogecoin's value. Analyst Ali Martinez highlights $0.18 as a crucial support level. Staying above $0.18 could lead to targets of $0.25 and possibly $0.33 if momentum holds.