Think Dogecoin is a joke? Think again because Elon Musk is seriously embracing the cryptocurrency that started off as a meme.
Elon’s interest in Dogecoin is not a big secret. Tesla’s CEO even strongly shows support for that cryptocurrency at most of his public speeches.
In the latest podcast hosted by Lex Fridman, Elon pointed out that Dogecoin has been so far the best cryptocurrency when put on a fundamental scale.
Elon Loves the Doge!
Elon also highlighted certain disadvantages of Bitcoin – the largest cryptocurrency in the world. Basically, “Bitcoin is comically slow in 2021,” the centibillionaire reminded.
Dogecoin, on the other hand, is highly beneficial due to low transaction charge, which results in an increase of transaction volume.
While Elon may be out of his mind with the over-support, it’s undeniable that his statements have a significant impact on the cryptocurrency market and Bitcoin price this year.
As stated, Elon is holding Bitcoin, Ethereum and Dogecoin. However, in the middle of the year, the Tesla CEO suddenly became annoyed with Bitcoin, due to its high energy-intensive needs.
In the scope of the podcast, Elon Musk also pointed out consumer behavior is another major attribute to make Dogecoin “better than anything else” he has ever seen.
Bitcoin holders prefer to hold Bitcoin, instead of spending it. It turns out that “there is reluctance to spend Bitcoin,” which might be an obstacle on the path of becoming a regular method of payment.
A key value that makes Dogecoin worthy of attention is the widespread acceptance. Most investors have initially known the coin because of its entertaining feature. But they stay because Dogecoin has the ability to represent “us” – people.
Previously, SpaceX CEO revealed the real reason he started supporting the Dogecoin cryptocurrency was not a love for dogs, or a personal preference, but the reason was this coin was in fact related to the lives and interests of his employees.
Musk has consistently praised Dogecoin over Bitcoin, claiming that the memecoin is more interesting than Bitcoin and other cryptocurrencies.
He calls himself a “pro doge” and claims that if Dogecoin can lower transaction times and fees, an outperformance is just a matter of time.
How About Other Major Coins?
If there’s one word to describe crypto space in 2021, it must be “crazy” or “hectic.”
A huge number of new entrants have made debuts and many skyrocketed. In addition, 2021 has also seen the increasing emergence of Wall Street as well as high-profile figures in the market.
Data shows that cryptocurrencies are driving more interest this year than in previous years due to support from many famous people like Elon Musk, Jack Dorsey, who have also mentioned and shaken this world several times.
The world’s largest digital currency Bitcoin has reached notable milestones this year.
The coin has increased by about 70%, bringing the total value of the crypto market to 2 trillion USD. Despite that, the future of Bitcoin is still unclear. Price volatility and increased regulatory scrutiny are the biggest factors.
The price of Bitcoin fluctuates continuously, the price can go high and also can fall dizzy and unpredictable. After the peak price peaks, the market capitalization of Bitcoin was blown away very quickly. This is a huge minus point in the eyes of investors.
Bitcoin is recognized as legal in many countries, however some governments still do not have a specific regulatory framework for this asset class or some governments in some countries have enacted a complete ban on Bitcoin.
In the previous period, authorities and banks couldn’t control BTC. However, over time, the government began to lay control and put it on a legal trajectory. And if it happens, the virtual currency can lose its potential prospects.
Recently, the NFT game trend has also received great attention, including Axie Infinity, The Sandbox or Decentraland.
The growth of NFT and DeFi has greatly boosted the Ethereum blockchain. But just like Bitcoin, the transaction fee and lack of scalability are minus points in the eyes of investors.
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