Cryptocurrency

Bitcoin vs Dogecoin: Comparative Analysis 

What is Bitcoin?

Bitcoin (BTC) is the first of many digital crypto assets that we see today. It is a decentralised digital asset that was originally described in a white paper in 2008 by a person or a group of people commonly known as Satoshi Nakamoto. Nakamoto’s stated goal was to create “a new electronic cash system” that was “completely decentralised with no server or central authority.” Satoshi had a plan for peer-to-peer electronic cash that would not have properties of the fiat currency. The entire system of bitcoin functions due to the efforts put in by a group of people known as miners. It was in 2009 that the Bitcoin crypto was finally launched. 

The closing bitcoin price today is $22,900 (August 2, 2022) and it is the world’s largest crypto by market capitalization today. 

What is Dogecoin?

Dogecoin (DOGE) is based on the popular “doge” Internet meme and features a Shiba Inu on its logo. This popular dog-faced digital currency was created by Billy Markus and Jackson Palmer while being based out of Portland and Oregon, respectively. The crypto asset was forked from Litecoin in December 2013. 

Dogecoin’s creators had foreseen the asset as a fun, light-hearted crypto token that would have greater appeal beyond the core Bitcoin audience for the simple fact that it was based on a dog meme! The worldwide boom of the DOGE token took place when Tesla CEO Elon Musk posted several tweets on social media stating that Dogecoin is his favourite coin. 

So much so that ‘Doge-father’ Elon Musk has reiterated his support for the token saying that it has more utility for transactional purposes than Bitcoin itself!

Read more on: What is Dogecoin?

Bitcoin (BTC) vs Dogecoin (DOGE): Comparison 

Comparison Basis Bitcoin (BTC) Dogecoin (DOGE)
Launch Date 2009 2013
Founders Satoshi Nakamoto  Billy Markus and Jackson Palmer
Blockchain Protocol Bitcoin Blockchain  Ethereum blockchain (REN project)
Token Type Native  Altcoin 
Use Case The first crypto, mainly used as a digital asset today.  Primarily a meme coin which can be used for the acquisition of goods and services.
Market Cap $437,386,427,825 $8,830,099,269
Circulation Supply 19,110,256.00 BTC 132.67 BILLION DOGE
Consensus Method Proof-of-work (PoW) Proof-of-work (PoW)

MarketCap* and Circulation Supply** as of August 2022

Source: CoinMarketCap

BTC VS DOGE – TECHNICAL ANALYSIS

BTC vs DOGE

So, it is evident from the Bitcoin vs Dogecoin chart above, Dogecoin has lost a lot more in the current crypto market bear run than Bitcoin has, and naturally so. However, what is concerning is that DOGE prices haven’t been participating in the recovery as well as most of the other top cryptos by market capitalization have been doing. This is a cause for concern because DOGE might be a smaller crypto in terms of market cap compared to Bitcoin but by no means is it a small token. 

With a current market cap of over $8.8 billion, it is safe to say that a lot of people are invested in this particular coin and stand to lose a lot of it doesn’t get to perform soon. 2021 had been a roller coaster ride for DOGE prices where it had seen a near 4800% rally within the first half of the year itself, backed by huge hype all across the board.

Additional Read: Dogecoin Technical Analysis

BITCOIN PRICE PREDICTION

Predicting how far a crypto can go up is difficult, because there are various factors that play into it. However, from a technical point of view, one can break it down into achievable targets.

For Bitcoin prices, its upward journey would be marred with obstacles. Two of the main obstacles, or rather regions of resistance investors would need to look out for are between $28,000-$32,000 and if that is crossed, then between $36,000-$45,000. These two would serve as wide accumulation zones where Bitcoin prices would typically spend a lot of time before breaking out – if all other things go well. 

The first resistance zone could take in a couple of months to cross, maybe even a quarter, looking at the sluggish recovery we are seeing now. But the next zone could at least take half a year to cross. So by rough estimates, by the end of three to four quarters, BTC prices could be around $45,000 if all goes well.

Additional Read: Bitcoin Price Prediction Weekly

DOGECOIN PRICE PREDICTION

Dogecoin has been one of the poorest performing major altcoins in the past few weeks as most of the other top crypto prices have seen recoveries. Dogecoin prices have remained stuck within a broad range between $0.059-$0.072, despite the rise in crypto prices all around. Thus, there is very little scope for Dogecoin price at the moment. Unless it is able to convincingly break out of the $0.072 level convincingly and sustain above it, nothing can really help this token and it would continue to lose its standing over time.

If, by chance, DOGE prices are able to sustain above $0.072 price, we may see a moderate amount of bullish action returning to the coin. However, in its rally it will face an even wider accumulation zone that could even take a year to breach. This zone would be between $0.11-$0.18 and if all goes well, a year from now Dogecoin prices may be able to hit the $0.18 region.

PROS AND CONS OF BITCOIN & DOGECOIN

PROS

BITCOIN PROS DOGECOIN PROS
It has good accessibility and liquidity Has a quickly growing community of holders
Provides complete user anonymity and transparency It has decentralised exchange compatibility
Total independence from a central authority Facilitates easy & cheap transactions
Has a high return potential Dogecoin has a unique market positioning

CONS

BITCOIN CONS DOGECOIN CONS
It has extreme volatility It possesses no supply capitalization
No government regulations, thus under constant risk It’s fun nature might contradict real innovation in its ecosystem
Irreversible – transactions are completely irreversible so hacks and illegal activities can’t be reversed Has an association with pump and dump schemes several times in the past
Limited use – thanks to its high costs  It has poor technical support for users

BTC vs DOGE: Should you invest in these popular cryptos? 

The crypto ecosystem has seen a wholesome lot in 2021. With the numerous ATH and various dips, the crypto market has been a playground for investors and traders. Being the pioneer of the crypto space, OG Bitcoin is always a safe bet, as per various investors. Having numerous use cases, Bitcoin has always been the most popular crypto asset, along with the other native tokens like Ethereum, Litecoin, etc.

Dogecoin on the other hand was introduced to the crypto world as a sarcastic meme coin with no aim for contributing to real-world problems. The mention of the asset in various tweets by the infamous Elon Musk ultimately dragged it to be among the top crypto assets to look out for. Ever since its rise in popularity, Dogecoin has paved the way for various other meme coins. 

Both Bitcoin and Dogecoin have had their moment in paving the way for the crypto world in general and meme coins respectively. There is no denying the impact of both these assets on the crypto ecosystem. If you want to explore the mentioned assets, we have got you covered!

How to invest in both Bitcoin(BTC) and Dogecoin(DOGE)

Investing in crypto has never been simpler, safer, and more secure than with the CoinDCX app. It doesn’t matter whether you want to buy bitcoin or wish check Dogecoin INR Price or want to explore various other crypto assets. 

Here are the 4 simple steps to buy your first BTC or DOGE with CoinDCX. 

  1. Sign up on CoinDCX 
  2. Fill in the required details 
  3. Complete your KYC
  4. Buy Bitcoin or Dogecoin
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