Six Cryptocurrencies That Could Overtake Dogecoin in 2022
Dogecoin (DOGE) was the fourth most news search term globally and in the US in 2021, according to Google search data. Ethereum, which came in at tenth, was another cryptocurrency that made it into the top ten search terms. When we look at Dogecoin’s trajectory in 2021, it’s no surprise that investors love it. Dogecoin began as a joke to mock the way people bought unfamiliar cryptocurrencies and has since grown to become one of the most valuable coins by market cap.
People buy meme coins for a variety of reasons, including the desire to be a part of the community, the aim of becoming richer, and the desire to enter the crypto world. According to cryptocurrency aficionado Mark Cuban, buying Dogecoin has a better chance of making you rich than buying lottery tickets, and it’s a great way to learn about the crypto asset space. However, some believe that Dogecoin’s star effect is fading, which is why Dogecoin is eager to become a mainstream payment method in order to shed its meme coin status. Dogecoin’s current price is down more than 75% from its all-time high in May 2021. Even a tweet from Elon Musk, the self-proclaimed father of Dogecoin, was ineffective in reviving it.
Despite the travails of Dogecoin, the global cryptocurrency market is still thriving in 2022. Many cryptocurrencies have shown growth momentum as NFTs, the metaverse, and DAOs compete for glory. Considering that positive macro trend, let’s consider the market capitalization of six cryptocurrencies which well might surpass Dogecoin in 2022.
Algorand is one of several cryptocurrencies being considered as a potential Ethereum (ETH) replacement. Due to technical reasons and as a result of its popularity, Ethereum, the first programmable blockchain, has struggled with high transaction fees and network congestion since its inception. During Ethereum’s Eth2 upgrade, other cryptocurrencies, such as Solana (SOL), rose to become one of the top ten coins in terms of market capitalization. One of the reasons Algorand is so popular is that it can be staked on multiple platforms. Staking is the process of binding your tokens to increase the overall security of the network.
Polygon is an Ethereum-based Layer 2 solution aggregator. Layer 2 networks are built on top of existing layer 1 networks to improve scalability. Polygon accelerates and reduces the cost of the Ethereum network, while also allowing developers to select the best solution for their projects.
Cosmos refers to itself as the “Internet of Blockchains,” and it is a cryptocurrency platform that focuses on interoperability. Interoperability is the next major challenge for cryptocurrencies, as involves facilitation of information exchange between blockchain networks. There are a number of fascinating cryptocurrencies in this space, and Cosmos is one to keep an eye on. ATOM is currently ranked 30th in the cryptocurrency market, with a market cap of approximately $6 billion.
The Graph (GRT)
Smart contracts are small pieces of self-executing code that run on the blockchain. They are programmed to trigger when certain conditions occur, but for them to be self-executing, accurate instructions are required. The primary purpose of The Graph is as a data indexing tool that helps those decentralized applications, and the smart contracts that power them, access the data they need. It has performed relatively well in 2021 but is lower than Dogecoin in terms of market cap, with scope to grow in 2022.
Helium offers a decentralized solution for wireless infrastructure, with individual user networks providing wireless access to Internet of Things (IoT) devices. IOT refers to all devices that are linked to the Internet, from refrigerators to smart collars for pets. Users can earn HNT tokens by operating the network’s hotspots and contributing to the Helium network’s governance.
Gaming and metaverse tokens, as well as anything related to NFTs, are currently popular. NFTs can operate as digital certificates that can be attached to a variety of digital collectibles, such as artwork, music, and in-game items. While the market is thriving, it’s difficult to predict which games, virtual worlds, or NFT artworks will catch people’s attention, especially if you’re not an avid gamer or collector. Rather than looking for the next value dip, investigate the infrastructure that underpins these projects. That’s exactly what’s attractive about Enjin, a gaming focused NFT platform known for making the process of creating and managing NFTs simple.
Predicting the unpredictable in 2022
Each of these tokens has a strong management team and are available from popular cryptocurrency exchanges such as BigONE. Although their emergence has the potential to solve some of the problems plaguing the blockchain field, and their development prospects are promising, they are not without risks, such as the impact of new regulatory policies, potential security loopholes, or their replacement by new competitor technologies.
Before investing in a cryptocurrency, make sure to research it to see if it has a competitive advantage, what its long-term prospects are, and if it has an active developer community. This article does not imply that BigONE believes that the hundreds of different meme tokens on the market will not rise in 2022; rather, they are far more unpredictable than these selected cryptocurrencies, and perhaps only a few meme tokens will succeed.
We don’t know what will happen to the cryptocurrency market in 2022, but tokens with a real purpose are more likely to outperform tokens without a purpose in the long run. And as highlighted by a report on top altcoins to watch out for on The Ascent website is sure to be an interesting year for investors: “Many analysts warn that the crypto market is due for a correction in 2022, which is unsurprising given the huge gains we’ve seen. Others believe that this is only the start and crypto still has huge potential. What’s certain is that we’ll see increased regulation, continued pandemic-related economic fallout, and ongoing volatility.”