What Happened: Meme-king DOGE has declined 38.88% over the past 30 days. At press time, DOGE traded 1.29% higher at $0.17 over 24 hours.
See Also: How To Buy Dogecoin (DOGE)
Dog-themed coins have not fared well in the past 30 days. Shiba Inu (CRYPTO: SHIB) is down 24.46% in the period. Dogelon Mars (CRYPTO: ELON) fell 34.24%, and Akita Inu (CRYPTO: AKITA) have plunged 57.18%.
“The [meme token] market becomes oversaturated with pointless meme coins,” said Arcane Research analyst Vetle Lunde, according to a CoinDesk report.
Notably, a lot of these Dog-oriented tokens came to the fore after DOGE soared to popularity partially due to the support of the community and partly due to tweets of Tesla Inc (NASDAQ:TSLA) CEO Elon Musk.
Why It Matters: The so-called meme tokens, favored by the retail crowd, have come under pressure after the cryptocurrency crackdown in China. As per CoinDesk, the market is dominated by retail investors in Asia.
Compounding the problem — many Asian retail meme coin investors are also cryptocurrency miners.
“Many of the meme coin traders in Asia are also miners, so they are preoccupied with handling the crackdown and recovering their losses,” said Rachel Lin, CEO of SynFutures, a decentralized derivatives exchange.
Investors may already have moved on to other greener pastures according to some experts. A fact highlighted by the recent interest surrounding Axie Infinity (CRYPTO: AXS) and Small Love Potion (CRYPTO: SLP).
“This summer is so far turning out to be the summer of crypto game projects,” said Lunde, as per CoinDesk.
Even so, some experts are sounding a more positive note on doggy-themed meme coins. Jay Hao, CEO of the trading platform OKEx said, “Beyond speculation, these meme coins have actually seen great traction in the wider crypto ecosystem, particularly when used as a tip for content on social media,” CoinDesk reported.
Hao said that if token creators were to improve upon the infrastructure these tokens could be turned into “robust utility tokes.”