Dogecoin’s Market Cap Overtakes Coinbase
Coinbase, the largest US cryptocurrency exchange, lagged behind the market cap of the popular meme token Dogecoin (DOGE) in terms of market cap. Coinbase’s stock, COIN, fell by about 90% with the sharp drops it experienced during the year and was last traded at $ 35. Coinbase, one of the leading crypto exchanges, currently has a market cap of only $8 billion, while the market cap of the popular meme token DOGE is nearly $1 billion more than Coinbase. value exceeded $9 billion and approached $10 billion.
This shows that Coinbase is facing the double impact of a volatile US stock market and the cryptocurrency market. As such, Coinbase is among those most affected by the bankruptcies and crypto winter in 2022. Because the stock market laid off more than 18% of the workforce, about 1,200 people.
Commenting on the drop in Coinbase, Michael Safai, partner at crypto trading firm Dexterity Capital, said:
“Coinbase is tied to the fate of the broader cryptocurrency markets. Dogecoin has no real connection to macro. DOGE is instead driven mainly by headlines and hype. But retail investors seem hungry for one last pop.”
It also appears as a crypto currency supported by DOGE Tesla CEO Elon Musk. If Elon Musk’s acquisition of Twitter and the possibility of DOGE to be accepted as a payment method on Twitter are considered together, this will definitely support a rise for Dogecoin. The Twitter DOGE merger could help boost the price and also bring new benefits to the meme token.
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