The recent bull run has caused various meme coins to surge significantly. Thanks to this price rally, top meme coins like PEPE, BRETT, BONK, FLOKI, and DOGE are currently recording a hike in value. However, the market situation has threatened Dogecoin’s position as the meme coin King.
Don’t forget that institutional investors are flocking to the cryptocurrency market to capitalize on the various opportunities in the sector. With the growing widespread acceptance of digital currency, the broader cryptocurrency market is on the verge of transitioning to the next height.
At this level, investors will no longer feel the craze of holding digital assets but rather invest in sustainable projects with good utility within the market. More so, cryptocurrency projects, most especially meme coins that have no particular use case, may fade out.
However, emerging meme coins now understand the danger ahead, compelling them to create value-enhancing and sustainable use cases. Today, meme coins offer innovations like community voting, trading bots, on-chain analytics, play-to-earn, and many others.
The emerging trend of embracing various utility streams among meme coins has raised questions on whether DOGE can maintain its position as the meme coin King.
Why DOGE Will Continue to Dominate the Meme Coin Market Without Utility
According to Coinmarketcap, the meme coin sector has a market capitalization of $135 billion, with DOGE contributing about $60 billion to the figure.
Underlining the market dominance of Dogecoin, other meme coins that made up the top ten in the market sector only hold less than $55 billion. Meanwhile, some of these assets include enthusiasts-popular SHIB, PEPE, WIF, BONK, FLOKI, BRETT, PNUT, and MOG.
By that, Dogecoin has further cemented its position as the king of the meme coin market. Furthermore, since the emergence of Donald Trump, Dogecoin has been on an impressive price rally, soaring by more than 140%, making it one of the best-performing meme coins at the moment.
The highlight further underlines how the meme coin has continued to benefit from the pro-crypto stance of Elon Musk. Since the creation of DOGE in 2013, the Tesla CEO has been a major figure in the Dogecoin community as his open admiration for the token fetched it a good patronage among investors.
For most of the bull run that ended in 2021, Elon Musk repeatedly engaged in conversations relating to the meme coin. Riding on this hype, DOGE and numerous Doge-themed meme coins soared wildly, creating a new niche for cryptocurrencies with fascinating lore.
Currently, Elon Musk is a very close friend of the president-elect, and he played a vital role in his emergence. Hence, Trump has declared his unflinching support for cryptocurrency, and Musk’s popularity within the administration will propel DOGE to further climb high the price charts.
Conclusion
To a noticeable extent, utility-centric meme coins are gaining relevance in the market which confirms that DOGE’s position as the meme coin King is under severe competition. Still, Dogecoin has everything necessary to repel this pressure and maintain its leading position.
More so, the core strength of every meme coin is their humorous nature, which appeals to investors that want something fun and relatable. Emerging meme coins focus on having utility to thrive in the cryptocurrency market.
Despite not offering any utility, DOGE is riding on its long-established popularity and the support of Elon Musk is also pushing the token above its counterparts. Correspondingly, Dogecoin is gradually making it to various platforms as a means of payment, and popular instant messaging application, X belonging to Musk could integrate the meme coin to its payment system.
Thanks to these integrations, Dogecoin has continued to dominate the meme space, and maintain a huge market share. However, DOGE’s adoption of a proof-of-work consensus mechanism is the major threat militating against the dominance of the token.
Elon Musk suggested that the meme coin has all it takes to function as a means of payment but its slow transaction completion time is a factor hitting against its mainstream adoption. Still, DOGE can dominate the meme coin market for a while, even without integrating any utility.
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