When Dogecoin (DOGE-USD) was trading near highs of 73 cents, investors were buying with some conviction for a one dollar price target. With Dogecoin trading at 14 cents, investors are hoping for some catalyst that can pull-off another big rally. That’s the story of a typical meme coin. In many ways, this also holds true for Shiba Inu (SHIB-USD), which has dropped by 67% from all-time highs.
![Dogecoin [DOGE] to rise beyond 40%? Whale activity may spur rally](https://crypto.newswireservice.net/wp-content/uploads/2023/02/doge-wale-1000x600-120x86.jpg)
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Does this imply that the story is over for meme coins?
I don’t believe the other extreme as well. There are dozens of meme coins. Only a handful might survive few years down the line. Given the community support and wider adoption, it seems that the likes of Dogecoin and Shiba Inu will survive.
Having said that, Dogecoin is not an ideal investment for an investor seeking multifold returns. A market capitalization of $19 billion is still high for a meme coin. However, the Elon Musk support factor might continue to attract investors and help in sustaining valuations around current levels. At best, Dogecoin will provide good trading opportunities.
Competition Within the Meme Coin Universe
Let’s also talk about CateCoin (CATE-USD). A recent news suggests that early Dogecoin and Shiba Inu investors are shifting to CateCoin. The meme coin trend seems to have shifted from dogs to cats.
The reason for this shift is clear. Dogecoin is not going to deliver multifold returns. Early investors in CateCoin, on the other hand, have seen returns of 2,900x. When we are talking about strong utility coins, there is unlikely to be a significant outflow of funds.
However, this is a big risk with meme coins. In the coming months, there might be another theme that creates euphoria and the scope for multifold returns. Whenever that happens, there will be investors moving away from the likes of Dogecoin or Shiba Inu. In particular, if these meme coins fail to deliver robust returns.
CateCoin also offers holders staking with an APR of 15%. Additionally, holders…
![Dogecoin [DOGE] to rise beyond 40%? Whale activity may spur rally](https://crypto.newswireservice.net/wp-content/uploads/2023/02/doge-wale-1000x600-350x250.jpg)
