Dogecoin, the peer-to-peer cryptocurrency so dear to Elon Musk’s heart turns nine years old, and as a gift, it also overtook the highly regarded Coinbase by market capitalization.
Today, the P2P cryptocurrency Dogecoin with which we have become familiar thanks to its mascot Shiba, the little dog-currency, is an almost mature cryptocurrency, and on 6 December it turned nine years old since its creation.
The crypto has always endeared itself to Elon Musk, CEO of Tesla and a longtime lover of the crypto to the point of making it his own “personal” crypto.
Repeatedly pushed strenuously by its own community on Reddit and on Twitter, the meme-coin has been leaping forward in the very wake of the November news that Musk was buying Twitter and the subsequent statement about his willingness to give Dogecoin the role of the social network’s official digital currency.
The leaps forward to which the coin has made us accustomed have often been the result of speculative pumps, but lately they are underpinned by concrete news that gives value to the crypto.
For its nine-year anniversary, the meme dog digital currency has treated itself to news that no one ever expected possible just a few years ago.
Dogecoin soars above Coinbase
Dogecoin has surpassed a behemoth like Coinbase in market capitalization, and this is sensational.
The news was reported among others by Watcher.guru on his profile who tweeted:
“Just in: #Dogecoin now has a larger market cap than Coinbase $COIN.”
Despite the resounding result, the currency in the market is losing a bit and is around $0.072.
The cryptocurrency is obviously very much in vogue in the United States of America but also finds an important core of supporters and investors in Europe especially in Germany, France, the Netherlands and Turkey.
Despite the fact that after Saturday many of the long positions have now been liquidated for millions of euros and despite a declining Open Interest, the digital currency is always grinding interest to the point of catching up and surpassing Coinbase in capitalization.
The news soon echoed on social media and among insiders, marking another blow to the exchanges so under pressure these days.
Between the contagions from FTX, the flight to fear of reserves, and the flight from even auditors to exchange platforms, more and more users are skeptical and wary of exchanges to the point that a single cryptocurrency can overtake a publicly traded entity like the American Coinbase.
In fairness, the news itself is not proof of quality, to the point that under the Twitter profile of Watcher.guru who revealed the news, many critical comments about it were unleashed.
The comments of those “perplexed” by the news mostly concern the crypto world’s tendency to “sing itself out” as reported by a saying of popular wisdom.
Emblematic is the response given by user What The Crypto who responded as follows:
“Cryptocurrencies are made of numbers! Ask SBF why while he took cryptocurrency from people, the accounts still showed they had it! So he was making up cryptocurrency numbers out of thin air, but the entire cryptocurrency market was being manipulated based on his numbers!“
The comment gives food for thought but playing in Dogecoin’s favor is the fact that both this time and in the case of FTX the numbers are real, except that Sam Bankman-Fried has been a master of the three-card game to the point of hiding even from auditors how much he was doing behind the scenes by ruining millions of investors, two huge companies and ending up behind bars himself.
Coinbase has a total market capitalization of $7.98 billion but Dogecoin’s is as high as $50 billion (more than five times as much).
The meme dog cryptocurrency has also joined the special top 10 ranking of the largest-capitalization crypto assets alongside such giants as Bitcoin and Ethereum.
The position reached by Dogecoin is eighth above Cardano and Polygon but just below XRP.
From Dogecoin’s $50 billion to Bitcoin’s $322 billion there is still a long way to go but good Elon and the coin’s fierce community will do their best to climb the rankings aided also by the social Twitter that recently crowned it as the official currency for exchanges on the bird social network.
Another interesting viewpoint was shared by the PaganDragon Twitter account, which highlighted the role played by Dogecoin whales.
“Doge has nowhere near 10 billion market cap if whales actually tryed to sell.”
The so-called Whales in the crypto world are apex investors who move huge sums and have their hands in the major crypto assets, funds, etc., because of the role they play they can quickly affect the market if they coordinate in a “move” to the point of even changing a market cap ranking and PaganDragon’s comment highlighted this very aspect i.e. the fragility of the market capitalization ranking.