7 Reasons Dogecoin (DOGE) Could Overturn Ripple’s XRP in 2024

Dogecoin’s total market cap was $19.8 billion at the time of writing, and the hash-powered meme coin was trading at $0.145.

Meanwhile, the price of Ripple XRP moved the markets to $0.5 per token and its market capitalization stood at $27 billion, according to data from CoinMarketCap.

Ripple’s lawsuit against the US SEC could end as soon as this summer, according to a legal expert. This would be the end of an ongoing headwind for XRP and would see its fortunes rise.

But here are seven reasons why Dogecoin could topple Ripple’s market cap later this year with one or two small green candles.

1. Elon Musk

The circle will be complete
pic.twitter.com/QkT7K9QBJF

— Elon Musk (@elonmusk) March 25, 2024

Dogecoin is owned by Elon Musk. That is such huge credibility and publicity. Ripple needs a champion with similar cachet to stay ahead of DOGE.

The closest he has so far is Gary Gensler. At the end of the day, the SEC chairman’s fierce opposition to XRP signals to investors that it could be very disruptive to global finance and offer great returns for the money invested.

DOGE was trading at $0.003 a coin in April 2019 when the leader of Tesla and SpaceX he tweeted, “Dogecoin might be my favorite cryptocurrency. It’s pretty cool.” That’s a +4,600% gain for the OG meme coin over five years for an average annualized return on investment of +920%.

2. Large Dogecoin Inflows Increase by 582%

Inflows of major Dogecoin holders surged 582% in 24 hours on May 4, in a very bullish move for the asset. At the same time, Ripple whales are moving their XRP tokens to exchanges in a bearish sign.

Crypto Daily Trade Signals, a popular Dogecoin YouTube channel, reported“IntoTheBlock’s data reveals a substantial increase in the inflow of large holders, from 129.63 million DOGE to an impressive 754.75 million DOGE, equivalent to approximately $116.98 million.”

🚨 28,240,000 #XRP (14,948,393 USD) transferred from the unknown wallet to #Bitstamphttps://t.co/i2ylQpwXGx

— Whale Alert (@whale_alert) May 5, 2024

Meanwhile, XRP saw huge, whale-sized moves on exchanges in May. On the 5th, there was a transaction that pushed 28,240,000 XRP (at the time $14,948,393 USD) to Bitstamp in a potentially bearish signal for the Ripple token.

Then on May 12, another 30,230,000 Ripple was moved from an unknown wallet to Bitstamp, according to data from Whale Alert.

3. Tesla adds Dogecoin for payments

Tesla, Inc. has accepted Doge for years, for company caps and t-shirts. This month, for the first time, the electric car maker began accepting DOGE payments for new cars and trucks. very cool Dogecoin rose 21% after the introduction.

Musk said in March that he thought Tesla should add support for Dogecoin payments.

XRP also has some pretty amazing partnerships and continues to bring more corporate brands into the conspiracy. But many of them are with big banks and foreign governments. It will take many years to see fruition compared to the instant boost of network effects of the Doge economy. Other companies that accept Doge include Microsoft, AMC, Twitch, and Newegg.

4. Lots of power of memes

Simply put, Doge memes have enormous power on the Internet, especially in the nerdy tech neighborhood that has the deep pockets to move the markets.

Ripple is more like a TradFi bank than Doge, despite its decentralization, and probably doesn’t want a furry pet to boost its short-term popularity. Maybe that shouldn’t matter. But for crypto bros, yes.

The top earners of 2023 were mostly meme coins. The crypto leader of the first quarter of 2024 was also a meme coin: PopCat.

5. Lots of teamwork, lots of influence

by VanEck @MarketVector launches $MEMECOIN index, top 6 assets, 30% cap.
Warns potential customers: “These coins are for entertainment purposes only” pic.twitter.com/ihjhfCNIR4

— matthew sigel, recovering CFA (@matthew_sigel) May 8, 2024

Dogecoin fellows are unstoppable!

The power of currency memes has translated into real economic disruptions with lots of zeros and commas. Ethereum Shiba Inu (SHIB), Solana Bonk (BONK), DogWifHat (WIF) and Ethereum/Binance Floki Inu (FLOKI) have provided altcoin investors with world-class gains over the past 12 months.

New York City-based ETF fund manager VanEck just launched the MarketVector Meme Coin Index this month. Of the six coins in the index, five are Doge memes.

6. Proof of work capacity

Even during periods like last week, when meme coins have caused losses among cryptocurrencies (after leading gains the previous week), Doge’s price has staying power with its cryptomining/proof-of-work investors.

Dogecoin is a December 2013 fork of the original Bitcoin blockchain launched in January 2009. It works in the same way as the BTC network and is chosen by investors because its electricity requirement to participate helps prevent the inflation and to maintain purchasing power.

Environmentalists who are tired of central bank currency are also leaning towards PoW chains. Proof-of-Work has harnessed the digital economy for the oil/alternative energy industry. It’s the world’s biggest reward for cheaper sources of electricity.

The future of toilet paper pic.twitter.com/I5THg684tz

— Arsenic | Bitcoin Therapy 📧 (@satoshibaggins) May 9, 2024

7. Fed rate cuts later this year

The Fed may hold rates steady in June, but the Bank of England could start the race to debt re-rating with rate cuts next month.

Many economists, analysts and commentators still expect a Fed rate cut later this year, especially if consumer price deflation continues to rise through April and May.

Either way, after the recent $1.2 trillion spending bill in March to fund the US government for another six months, Washington is preparing to spend $2.4 trillion annually. When this happens, it usually drives prices up and seriously exacerbates the already voracious demand for inflation safe haven crypto markets like Bitcoin and Dogecoin.

Bottom line for investors

Digital assets remain at risk of loss and there is no way to guarantee the performance of the markets in the future. But based on the fundamental considerations mentioned above, the price of Dogecoin could be undervalued by $0.14 after falling from its high of $0.22 in March.

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