Despite a recent downturn caused by a general market shift, Dog Wif Hat (WIF) has been performing great so far this year. Even taking in a small price drop over the last 24 hours, the meme coin is still up over 580% in the last 30 days. This price drop has likely come from the latest inflation index that caused Bitcoin and most other projects to lose some value too.
Any long-term concerns about Dog Wif Hat should be put to bed by the fact it became the 4th ranked meme coin on CoinMarketCap’s ranking this week showing that investors are still enamored with this Solana network project. With that being said, there may actually be an even better meme coin to invest in right now, and it's called DogeCoin20 (DOGE20).
While we still have faith in the future prospects of Dog Wif Hat, we are not so convinced about Dogecoin (DOGE). This new token has seen some clear chinks in the armor, and its presale has shown investors are ready to get on board. Let’s take a look at what we mean.
Dogecoin20- Are we about to see the downfall of Dogecoin?
Dogecoin (DOGE) looked like it may have been bouncing back earlier in Q1 as the number one meme coin saw a sustained growth period for the first time in what felt like years. However, given the recent performance, it seems its comeback had nothing to do with anything besides the bull run.
Dogecoin20 (DOGE20) is not the first DOGE alternative that is hoping to steal the limelight away from the original meme coin, but it is by far the most well-constructed and thus has the best chance. The presale has been nothing short of amazing, as it has raised $4 million in just a week. Clearly, there is a big appetite for this new project.
But why? Dogecoin is the highest-ranked meme coin and has been since its inception, it seems silly for a new project to challenge such a well-established token. In truth, the holes have been appearing in Dogecoin for quite some time, and in a lot of ways, it may be a relic of the past.
Doegcoin20 has picked out clear parts of DOGE it will improve on while still keeping its legacy alive. Before looking at this, though, we will examine where Dogecoin is likely to struggle in the future. Its main issue may arise from its stake-to-work system.
This kind of blockchain is associated with Bitcoin, which has borne the brunt of a lot of criticism from environmental groups over the years. This is likely only going to increase as crypto makes its way into the mainstream. We already have evidence of this since the ETF approvals by the SEC when earlier this year, The United States Energy Department requested an investigation into the energy use of Bitcoin mining.
This has for now been shelved because of a major mining company setting to sure, but realistically, this problem is only starting for Bitcoin and other proof-of-work crypto projects. Dogecoin should actually be quite thankful to Bitcoin for taking so much attention from them, as looking into its energy use was quite shocking.
DogeCoin20 is the better option for the future of crypto
Digiconomist found that less than seven Dogecoin transactions used the equivalent power to the average US household over a full day. Given that daily transactions can go over one million on a good day, this is very shocking indeed. It is likely that this process will likely just not be allowed in this age of global warming.
So this is where DogeCoin20 (DOGE20) begins, but certainly not where it ends. Its proof-of-stake model gives it many advantages over the original. First, as we mentioned, is the environmental part. DogeCoin20 is on the Ethereum network, which famously switched to proof-of-stake in 2022 and reduced its emissions by 99%.
Of course, the proof-of-stake model has become much more popular in recent times because of another reason too; staking. It is hard to find any new successful project that doesn’t involve or plan to involve staking in its ecosystem. It lets investors earn more crypto while also securing the foundation of the project.
DogeCoin20 has mapped out a clever model for their staking system. The investors who stake the earliest and the most will be rewarded the most down the line. This means that when it launches, they have protected themselves from a pump-and-dump scenario as investors are much more likely to hold onto their tokens when they have rewards coming in the future.
Something we really like about this ICO is that they have also taken an original approach to meme coin virality. No matter how much utility your meme coin project may have, the most important factor will be virality. A lot of tokens try to spread the word via marketing but DogeCoin20 has dedicated part of their treasurer to philanthropy. They believe good deeds will help spread the word of DOGE20 the fastest.
Dog Wif Hat likely still a good long-term option
We touched on this in the opening, but Dog Wif Hat’s (WIF) growth over the past 30 days has been incredible, as we can see from the chart above. What is also worth noting is how the graph ends. Despite the brief market downturn that affected most tokens, WIF seems to have immediately gotten over it and is once again pumping.
A very different token to DOGE20, Dog Wif Hat doesn’t rely on utility but instead its virality. Coming from the Solana network, which has been very successful lately, is also a boost. According to CoinGecko, the meme coin sector of the Solana network surged by over 40% earlier this week. Considering the bearish conditions may have been shaken already this could shoot up even more.
Conclusion
Both Doge Wif Hat and DogeCoin20 represent good investment options for the long term. However, the fact that DogeCoin20 is available at a tiny presale price with a small market cap means it has much more potential for explosive gains. The sooner investors act the more likely they are for a bigger ROI.
