Dogecoin dropped out of the top 10 cryptocurrencies
Elon Musk didn’t help Dogecoin stay in the top 10 cryptocurrencies.
Dogecoin was pushed out of the top 10 virtual assets by market capitalization. Its place has now been taken by DOT. Dogecoin has the 11th spot. It has a market capitalization of $9, 24 billion. Polkadot has a market capitalization of $9, 87 billion.
Why Dogecoin has lost its position
Most likely, amid the global recession in the world market, interest in the meme-token has plummeted. Investors now prefer more socially useful assets than the ridiculous joke currency, as Ilon Musk himself calls it.
The fall came despite the fact that the main developer of the token, Michi Lumine, announced that the Libdogecoin library had been released. It consists of DOGE building blocks. This library allows for simplified integration of Dogecoin across multiple venues.
Despite Ilon Musk’s support, the asset can’t hold back. He reiterated that he mainly supports Doge, and it has real benefits.
In an interview on the Full Send podcast, the businessman said that while DOGE started out as a joke, some of its features eclipse what Bitcoin has to offer.
Musk explained that DOGE transactions are completed in 60 seconds, while BTC transactions take almost 10 minutes. In his opinion, this is enough to consider Dogecoin a more effective payment system.
However, the market shows that the value of meme-token is not more important to him than Bitcoin. And there is nothing left of the magic of Ilon Musk’s words either.
Will Dogecoin continue to lose its capitalization
To a large extent, the value of such assets is determined by the active community. They create the appearance in the market that they have value. In fact, their value is determined solely by the community, not by market fundamentals.
In the long term, meme-tokens will cease to be in demand. As a trend is taking shape that will manifest itself vividly as early as 2023 – the introduction of industry standards for blockchain. More than 40 committees are working in this area, and those assets, like blockchain projects, that don’t fit the standards will become outsiders.
