In recent hours, the ranking of the 10 best-capitalized cryptocurrencies has slightly changed. Dogecoin, the meme coin supported by Elon Musk, has indeed lost tenth place to the benefit of Polkadot, thus recording its entry into this prestigious top 10 crypto project.
With a capitalization of $10.5 billion, Polkadot now surpasses Dogecoin and its value of $9.3 billion. One of the reasons behind this progression could be using Polkadot (DOT) at the expense of the DOGE ecosystem.
The blockchain, of which DOT is the native currency, is indeed firmly focused on interoperability and interchangeability between the different blockchains, and it allows, thanks to a unique para-chain technology, independent chains to connect without third parties. This feature is highly appreciated and requested by cryptocurrency enthusiasts who use any blockchain technology other than the main Bitcoin asset.
Dogecoin in free fall?
If the fall of Dogecoin is undoubtedly linked to the growing success of its current competitor Polkadot, other analysts suggest other reasons. For example, some consider Dogecoin to be just a project with no particular purpose or reason whose success has been fueled by the international media support provided by Elon Musk.
Several investors have indeed injected funds into the ecosystem because of the notoriety of Elon Musk’s CEO. Investors are more cautious about their decisions with the general fall in industry stocks.
Note that the respective prices of DOT and DOGE are $9.23 and $0.07 at the time of writing. According to Trading Beasts, DOT could exceed $30 by 2024, while DOGE’s minimum price will be around $0.0830920 by the end of 2023.