Dogecoin Market Cap Surpasses Porsche After Musk Endorsement

Dogecoin enthusiasts worldwide celebrated April 20 as “Dogeday,” an annual tradition that highlights the meme cryptocurrency’s passionate fan base. This year marks the fourth anniversary of Dogecoin, which began as an online joke in 2013 and has since grown to become the eighth-largest cryptocurrency by market capitalization.

The success of Dogecoin is largely attributed to its robust community. The cryptocurrency has a market capitalization of about $23.3 billion, according to Coingecko data. Analysts point out that Dogecoin’s inflationary model, which introduces around 5 billion new coins annually, helps keep entry fees low for newcomers. This strategy has fostered a devoted fan base that actively participates in the annual April 20th celebration, which initially gained traction in 2021 by aligning with International Weed Day.

Some of the large financial institutions are currently awaiting decisions on Dogecoin ETF proposals, which could bring this cryptocurrency further into the mainstream for investors. Applications are under consideration by the U.S. Securities and Exchange Commission (SEC) for Bitwise, Grayscale, 21Shares, and Osprey Funds, among others. Initial approvals may arrive as early as May 18 for Bitwise, followed by Grayscale’s deadline on May 21. However, the SEC can delay final decisions until October. With approval, these ETFs would enable institutional investors such as pension funds and banks to invest in Dogecoin through standard stock exchanges, potentially injecting massive new money into the space.

Elon Musk’s continued support has been crucial to Dogecoin’s sustained popularity in the saturated cryptocurrency market. The entrepreneur behind Tesla and SpaceX has continually referred to Dogecoin as “the people’s crypto,” with his social media posts frequently causing price spikes. When Musk briefly switched Twitter’s logo to the Doge picture last year, the value of the cryptocurrency soared 20% in hours. As of November 2024, after another Musk endorsement, Dogecoin’s market cap eclipsed luxury car maker Porsche.

Despite its cultural following, some critics question Dogecoin’s long-term sustainability. Unlike Bitcoin or Ethereum, Dogecoin lacks technical features such as smart contracts and staking. Its popularity relies heavily on social media hype and celebrity endorsements rather than technological advancements. Nevertheless, hashtags such as #Dogeday2025 and #DogecoinToTheMoon were trending on X, with users posting memes of the Shiba Inu mascot in space suits, jokes about future riches, and videos commemorating the cryptocurrency’s longevity in a risky market.