It’s funny to think that Shiba Inu (CCC:SHIB-USD) was once considered by some traders to be just a clone of Dogecoin (CCC:DOGE-USD). Lately, there’s been a “flippening” as Shiba Inu’s buzz-worthiness has actually surpassed that of Dogecoin, and as of Oct. 27, the flippening is here.
The crowds are fickle, but that doesn’t mean you need to be. There’s room for more than one canine-themed altcoin in the world, after all.
It’s perfectly okay to hold both DOGE and SHIB in your cryptocurrency portfolio. Neither one is “better” than the other; they’re just different.
Indeed, there’s a famous (albeit somewhat eccentric) billionaire who’s apparently showing his loyalty to Dogecoin. Moreover, a recent survey shows that this coin is still quite popular in the U.S., despite the competition from Shiba Inu.
Analyzing the Dogecoin Price
It’s all about that almighty dollar. Even during its wildest rally from May of this year, DOGE still didn’t manage to reach the $1 target price.
For what it’s worth, Dogecoin did achieve a 52-week high of around 74 cents in May. That’s not too shabby for a coin that cost less than a penny at the end of 2020.
After collapsing to 17 cents during the summer, DOGE doubled to 35 cents before crashing again.
This should serve as a lesson to prospective cryptocurrency traders who don’t fully appreciate how volatile these assets can be.
The point here is, don’t load up on Dogecoin or any other low-priced token. A small position size can help to prevent major financial loss.
In late October, DOGE was drifting near 25 cents, while SHIB was flying like a dog catching a Frisbee.
No worries, though — it’s not really a competition, and both coins have value.
A Coin for the People
Even though Dogecoin isn’t having its “YOLO” moment right now, there’s at least one billionaire who still seems to support it.
If you don’t believe me, then check out this Oct. 24 tweet from Elon Musk:
“Lots of people I talked to on the production lines at Tesla or building rockets at SpaceX own Doge. They aren’t financial experts or Silicon Valley technologists. That’s why I decided to support Doge — it felt like the people’s crypto.”
Now, I’m certainly not telling anyone to run out and buy Dogecoin because Musk and some of his crew members like it.
Yet, I must admit that I’m swayed by Musk’s argument, at least on an emotional level.
A response from Dogecoin fan Glauber Contessoto succinctly sums up how retail cryptocurrency traders might view Musk’s enthusiasm:
“Most of us don’t come from privileged backgrounds and honestly can’t relate to the experts in Silicon Valley. We just want to believe in a crypto that represents us all. #Dogecoin is the little guy personified in crypto which is why we love it. We appreciate your support Elon!”
Little Coin Gets Big Adoption
Remember, DOGE started out as something of a joke. Musk’s support bolsters the argument that the token is finally being taken seriously.
And while Shiba Inu just surpassed Dogecoin in market value, both of those coins recently achieved a hefty have a market capitalization of over $31 billion.
Plus, DOGE’s adoption level is surprisingly high, particularly in the U.S.
In fact, one survey found that 30.6% of U.S.-based cryptocurrency owners say that they own Dogecoin.
Furthermore, the coin’s adoption rate in the U.S. is nearly double that of the rest of the world.
So American crypto holders seem to like DOGE just fine, irrespective of the competition from SHIB.
The Bottom Line on Dogecoin
Long gone are the days of Dogecoin being viewed as just a silly joke.
Sure, the spotlight is on Shiba Inu at the moment. There’s nothing wrong with that.
In the final analysis, cryptocurrency lovers can take a moderately sized position in both tokens.
And even though it has a dog’s face on the front, we can still declare that Dogecoin is the coin of the people.
On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
David Moadel has provided compelling content — and crossed the occasional line — on behalf of Crush the Street, Market Realist, TalkMarkets, Finom Group, Benzinga, and (of course) InvestorPlace.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.