Dogecoin (DOGE), once thought to be just an internet meme, has quickly become one of the focal points in cryptocurrency. A comprehensive study conducted by 21 Shares, an established asset management and crypto ETP investing entity, revealed its substantial potential and catapulted it to prominence among other digital currencies.
Unveiling the Potential of Dogecoin
21Shares recently conducted an in-depth analysis of Dogecoin’s journey from its original concept as an internet meme to becoming the leading meme-based cryptocurrency globally. Their report, entitled “the meme that made it,” suggests that Dogecoin has outwitted expectations and become a significant player on the market.
Dogecoin first made its debut in 2013, just a few years after Bitcoin, with an amusing Shiba Inu dog theme. Since then, however, its appeal has transcended meme status into something with considerable potential as evidenced by an impressive community, widespread adoption, notable price surges, and new applications emerging over time. Instead of focusing solely on sophisticated technology solutions, the real appeal lies within its connectivity to online culture and society at large.
21Shares reports that memes are an integral component of internet culture, and Dogecoin has successfully captured their essence within crypto. It has successfully become part of digital folklore despite many other meme coins coming and going; its survival can be attributed to its strong emotional bond and identity among its community, which creates a cycle where community actions lead to liquidity and engagement that then fuel the supporter base further, ultimately increasing coin’s value.
The Ascension of DOGE from Meme to Mainstream
21Shares explores how Dogecoin has transformed from its initial meme status into a mainstream asset class. Their report highlights its remarkable trajectory over the last decade – noting its staggering 130,000% return and making it the top performer among top 25 market capitalization cryptocurrencies by market capization. Such remarkable growth has propelled Dogecoin up to an astonishing $30 billion valuation with millions of supporters flocking around it.
This surge is driven by several factors, including swift and cost-effective transactions, rising mainstream acceptance and an engaged community. Since reaching its peak price during the 2021 bull market, Dogecoin’s adoption has exponentially grown; wallet addresses jumped from 44 million to 84 million within four years demonstrating huge recognition and widespread use.
