Bitcoin and Ethereum affect new highlights – why not Dogecoin?

Digital Asset Markets last year gathered after the Approval of Bitcoin ETFs and US President Donald Trump victoryWith the top 10 largest cryptocurrencies (excluding stablecoins) through market capitalization that all affects new highlights in the last 12 months.

Dogecoin has been the only exception.

While coins with a large cap Bitcoin” Solana” BNBAnd XRP I have all broken new records, the favorite of Elon Musk memeDoge, is still more than 70% under the 2021 High Mark of $ 0.73 priced.

Coingecko -Data to show That doge was recently priced at just over $ 0.21. The coin saw a rebound last fall when Musk joined President Trump to the campaign track and continued to get up after Trump won the elections. But it reached a peak at around $ 0.48 in December and has not been seen more than $ 0.40 since January.

What’s going on? If meme coins act on vibes and goodwill, and the crypto industry in recent months is broadly flooded with positive news, why does Doge fly high again?

“Dogecoin is on vibes, and the vibes have not yet reached 2021 Mania levels,” said Douglas Colkitt, founder of ambient financing and founder of Fogo, said Decrypt. “In contrast to Bitcoin or ETH, there is no structural question driver. It has no appearance, it does not anchor Defi -not … It is literally just a meme with a strong community behind it.”

According to Grayscale Head of Research Zach Pandl, investors are currently the most interested in digital assets that are actually useful. Meme coins miss that famous.

“There is nothing wrong with meme coins and other digital collecting objects, and they will always be part of crypto markets,” Pandl said Decrypt. “But the institutional investors moving to Crypto are looking for use in practice and are focused on projects for generating income.”

Bitcoin has largely been sold as a long -term store of the value, while according to investors, the network of Ethereum is useful for applications such as such as such as stablecoins—Digital tokens linked to the value of the dollar that everyone wants to spend from JP Morgan to Meta.

Although there seems to be the demand for the coin – with analysts narration Decrypt that ETFs that give exposure to the coin could be quickly approved – it was created As a joke to have fun in the crypto space. Dogecoin then largely received a cult -then Tesla -Baas Elon Musk set Post memes about the coin.

The richest man and SpaceX chef in the world once claimed that he was actively enjoying it because it was “for the people”, unlike Bitcoin. He also said it has the “best sense of humor” and that he loves doge because he also enjoys dogs and memes.

In other words, it’s just a joke for Musk. And investors may see it in the same way.

DOGE has been framed in the past as ready for payments; Billionaires such as Shark Tank’s Mark Cuban – together with Muskus – have said The tokenomics of the coin would make up for transactions. Cuban also said that the low price per coin made it an asset that people would actually spend, in contrast to Bitcoin.

But for transactions, Dogecoin has still not started and has largely been seen as a speculative – and fun -. And it has not given traders such as Bitcoin or Ethereum in recent years.

“Meme coins can be a way to unite an online community around shared interests, but this does not mean that they will make good long-term investments,” Pandl added.

Zooms, many cryptocurrencies have not achieved a decent return this year, according to data from digital assets management agency Arca, with 75% of the tokens that the company notices show that negative returns from year to that time.

“The only exceptions are tokens linked to stock participation, such as Bitcoin, Ethereum and Solana, or that associated with a legitimate business model,” Arca Cio Jeff Dorman said DecryptRecording price bumps in assets such as decentralized derivatives platform Hyperliquid’s hype, and CRO linked to crypto exchange crypto.com.

“Doge, on the other hand, lacks a functional goal, so it has not experienced a significant increase,” he added.

That could change in the future with developments Like DogeosHe promises to bring apps and games to the network, and the Dogecoin ETFs that empts such as Grayscale and Bitwise I hope to launch In anticipation of sec -goods inspection. But even a Wall Street stamp may not give Doge a lasting boost.

“Of course, an ETF would create a head and open the door for a number of new intake. But let’s really be: a doge ETF would be the ultimate evidence that financial markets have completely embraced the absurd,” Complitt added. “Will it pump? Probably. Will it create permanent value? Challenged. “

“There is always a demand for doge because people love the joke. That is the product: the meme,” he continued. “But the question is not the same as useful. As long as investors are willing to speculate about nostalgia and internet culture, there will be an offer to it. Just don’t confuse it with fundamental adoption.”