Elon Musk Dogecoin is at best a cryptocurrencies alternative after bitcoin
Dogecoin by Elon Musk still lags behind bitcoin and Ethereum in market cap. However, the volume of trading of Dogecoin is at an all-time high.
Dogecoin will take time to reach Bitcoin value – cryptocurrency experts
The new Crypto floated by Tesla’s Elon Musk Dogecoin (CCC: DOGE-USD) has declined in value recently with other substitutes. This has shown the weakness that coins have in the financial market. What this implies is that it will still be behind the main cryptocurrency like Ethereum and Bitcoin according to Forex experts.
Although Dogecoin could have a wider range and bigger volatility than others, its value will take time to grow. A good reason for this decline is that despite being owned by the second richest man in the world, it is still ranked 14th in crypto market value.
According to coin market, a finance site that tracks coin values, Dogecoin has a market base of $5.784 billion as of February 26. Against a bitcoin and Ethereum capitalization of $875.2 billion and $173.7 billion. Total market capital is the aggregate of coins mined and available for purchase and sell.
Dogecoin market Value small to rivals
What this means is that the coin is 0.70% of the ratio of Bitcoin and 3.5% of Ethereum. Furthermore, Bitcoin also has a volume of trading which sits at 12%, while Ethereum sits at 29% and Dogecoin has 41% of the market cap trading every day. While it is expected that the value of Dogecoin will rise in the future, it doesn’t seem it will meet bitcoin and Ethereum soon.
One factor that stands against Dogecoin is that investors in the coin aren’t comfortable with how the market is moving. At the beginning of February, Bitcoin was valued at $50,000 which industry experts say is the highest and may not go further. Also, countries like India and Nigeria are scrutinizing Crypto usage as it affects its economy.