While lots of people hold altcoins for their potential use cases, an equally large number holds them for their potential to perform outstandingly well in the next Bull Run. That’s because, from their history, they have proven that they perform better in bull markets, just like they take a bigger hit in bearish markets. Applying this logic to the current market, there is a solid basis to believe that Dogecoin (DOGE) could emerge as one of the best performing altcoins in the next Bull Market. A number of factors suppot this possibility.
The first one is the stability that Dogecoin (DOGE) has shown all through the 2018 bear market. Dogecoin has been relatively stable all through the year when compared to a majority of the other altcoins. This has inspired lots of confidence in a coin that all through the years has been considered a joke. This confidence will play a significant role in giving Dogecoin (DOGE) momentum once FOMO kicks into the market. It is easier to invest in an altcoin that has proven to be stable all through a bear market than, in those that have proven to be extremely volatile and have the risk of losing all their value in case of a market correction.
Then there is fact that the bear market has brought out the importance of crypto usage in driving price stability. Part of the reason why Dogecoin (DOGE) has been so stable is its real-world usage. Unlike most altcoins, over 95% of Dogecoin transactions come from real-world transactions. Cryptos that are only used for speculative trading on exchanges are the ones that have taken the biggest hit.
As investors become more aware of this fact, they will pile money into altcoins that have an element of real world usage. Not only do they make more sense as investments, but they are also more stable. This will play a role in driving up cryptos like Dogecoin (DOGE), whose core value comes from being used for real-world transactions. This could play a major role in driving up retail FOMO in Dogecoin (DOGE) in the next Bull Run. Unlike in 2017, when people were throwing money at random cryptos, due to the ICO craze, the average 2018 crypto investor is more informed, and practical coins like Dogecoin (DOGE) will have an edge in themarket.
Dogecoin is also supported by the friendly nature of its community. The Dogecoin community constantly gets involved in charity events, such as the initiative to provide socks to the homeless in LA. This is a big deal because it makes Dogecoin (DOGE) more attractive to people who are coming into crypto for the first time. Someone who has seen Dogecoin help the community in their locality, and is looking to get into crypto would probably have Dogecoin as their first choice.
Dogecoin(DOGE) has cut itself an image of an easy crypto, that is practical for everyday use, and the market is buying into it. Its chances of emerging as the surprise winner in the next Bull Run is quite high.