Bitcoin & Co .: 3 cryptocurrencies to avoid like the plague now

When it comes to cryptocurrencies, the thought immediately goes to Bitcoin which undoubtedly holds the scepter, but next to it there are thousands of other digital currencies, some more famous and others less.

Since bottoming out in March 2020, the aggregate value of cryptocurrencies has jumped from $ 141 billion to $ 2.58 trillion over the past 20 months.

As mentioned before, not all of them have the same popularity and even more the same growth prospects.
From the pages of The Motley Fool, Sean Wiliams specifically points out three popular cryptocurrencies that should be avoided like the plague.

Shiba Inu

As if there was any doubt, probably the single biggest cryptocurrency to avoid in December, and for the foreseeable future, is the Shiba Inu meme coin.

Between midnight on January 1, 2021 and the all-time intraday high of October 27, SHIB tokens increased by more than 121,000,000%.

Earnings of this magnitude are unknown in less than 10 months and could have made cryptocurrency investors millionaires for mere change.

The Shiba Inu rally was fueled by numerous catalysts, first and foremost the major cryptocurrency exchanges, the launch of the decentralized exchange ShibaSwap in July, the consumption of coins and the fear of missing out.

Unfortunately, even the most tangible of these catalysts doesn’t change the fact that the Shiba Inu is full of flaws.

The real usefulness of Shiba Inu is almost non-existent. Only 369 merchants worldwide accept SHIB as payment.

According to Coinbase, the median hold time for SHIB is lower than all other very popular cryptocurrencies, which likely signals that some people are chasing the momentum and don’t actually believe in the long-term project.

Shiba Inu offers no competitive advantage, is exposed to potentially high transaction fees and possible processing delays.

Dogelon Mars

Another digital currency to avoid like the plague in December is the advertised Dogelon Mars (ELON).

If you’ve never heard of Dogelon Mars before, don’t feel guilty. As recently as early September, this cryptocurrency had a market capitalization of $ 26 million, but by the end of October 2021 it had reached a peak of $ 1.43 billion in market value.

Most of this surge can be traced to two new listing announcements on October 29th. It was then that OKEx and Crypto.com listed the rapidly growing Dogeln Mars token ELON for trade.

In theory, the more cryptocurrency exchanges that list ELON, the better the liquidity of the coin and the faster the community will grow.

The problem with Dogelon and so many other coins is that their ambitious mission statements tend to be fluffy.

Dogelon’s “information” section describes it as “the first interplanetary currency”.

This might sound intriguing, but there is no need for an interplanetary currency now.

Furthermore, there is nothing to suggest that Dogelon offers anything really different than other cryptocurrencies – it is simply one of many on the long list of those being pumped up on social media.

Remember that Dogelon skyrocketed by more than 6,250% between April 22 and May 11 of this year, and subsequently lost 97% of its value about six weeks after the peak.

Big gains based solely on social media buzz in the crypto space always prove fleeting, which is why Dogelon Mars should be avoided at all costs.

Dogecoin

The third cryptocurrency to avoid like the plague is Shiba Inu’s rival, Dogecoin.

This digital currency has had a stellar year, albeit not one that would make people millionaires with a $ 1 or $ 2 investment. Since the beginning of the year, Dogecoin has catapulted higher by more than 4,100%.

Although increased adoption and social media buzz has played its part, Dogecoin’s earnings really came thanks to the tweets and comments from Tesla’s number one Elon Musk.

Musk only owns three digital currencies, and Dogecoin is one of them. He also previously tweeted that he would be working with Dogecoin developers to improve the network.

Therefore, whenever the self-proclaimed “Dogefather” refers to DOGE or Shiba Inu, it is taken as a bullish sign by the Dogecoin community.

Dogcoin, however, suffers from the same problems as other coins to avoid in December: it offers no competitive advantage or purpose in the real world.

Although Dogecoin’s transaction fees are lower than those of Bitcoin and Ethereum, its fees are also considerably higher than most other virtual currencies.

Without a competitive advantage, there is simply no reason to own DOGE.

Trend-online Deputy Director, born in 1978.
After completing his studies at the Classical High School “Antonio Calamo” of Ostuni I entered the world of economics.
For about twenty years I have been dealing with Stock Exchange and Finance. After having worked as a financial promoter for several years, in 2005 I joined the Trend-online team as an editor, to later become deputy director of the cylinder head. Among other countless activities, I take care of maintaining relationships with all the experts, analysts and traders, consulted daily by Trend-online.

My motto is? “Life is like a mirror, if you look at it smiling it will smile at you”.

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