Dogecoin has been one of crypto’s most talked-about assets for years, but it’s noticeably trailing larger tokens during the latest market upswing. Despite a broader rally that pushed Bitcoin, Ethereum and several other top coins to fresh highs, DOGE remains roughly 70% below its 2021 peak of $0.73, trading near $0.21 at recent checks.
The gap raises a straightforward question: why isn’t Dogecoin rising with the rest of the market? The answer from market participants centers on utility — or the lack of it. Unlike Bitcoin, often positioned as a store of value, or Ethereum, which supports a thriving app and stablecoin ecosystem, Dogecoin was created as a joke and lacks the structural use cases that attract long-term, institutional capital.
Industry analysts point to several specific shortcomings. Dogecoin doesn’t offer staking yields, it isn’t widely used as DeFi collateral, and its tokenomics favor speculation over sustained demand. That doesn’t remove the cultural pull: DOGE still benefits from a loyal community and high-profile endorsements, most notably from Elon Musk. But community goodwill and memes are not the same as economic utility.
Could an ETF or new tech change the outlook?
There are potential catalysts on the horizon. Firms such as Grayscale and Bitwise have explored the idea of a DOGE ETF, and projects like DogeOS aim to bring apps and games to the network. An ETF approval would likely produce a headline-driven inflow and a short-term price bump. However, several analysts caution that an ETF alone wouldn’t solve the core issue: long-term value typically follows real-world use cases and revenue models.
Risk awareness: Dogecoin remains a speculative asset. Any investment tied to meme-driven demand is subject to sharp volatility and sentiment-driven drawdowns. This analysis is informational and not financial advice.
In short, DOGE’s future performance depends less on market-wide optimism and more on whether developers and institutions can attach durable utility to the token. Until then, many investors will treat it as a cultural asset rather than a fundamentals-driven holding.
Source: Decrypt. Read the original coverage for full details.