Bitcoin has been the number one narrative ever since the crypto market was created as most crypto only goes up when Bitcoin goes up.

This is because Bitcoin was the first ever cryptocurrency that existed in the world, which is why its dominance was never beaten.

The time it took for other cryptocurrencies to be created from the time Bitcoin was created can be counted as years as Ethereum itself only came to life six years after Bitcoin was already operating. 

Now imagine how meme coins differ from Bitcoin, especially with the ones that are popular today, such as PEPE, which was only created around 12 years after Bitcoin was created. 

This is why it is hard for meme coins to beat the dominance of Bitcoin, but it could still benefit from it. 

PEPE Goes Up with Bitcoin

As you can see, most of cryptocurrencies in the market moves up when Bitcoin goes up, and meme coins are not excluded from the trend. 

As you can see just by looking at this year, the most popular newer generation of meme coin, which is PEPE, goes up when Bitcoin goes up in 2024. 

The movement of the two was always similar, in the sense that PEPE always waited for BItcoin to go up before essentially going up itself. 

Correlation between the two is basically non-existent as PEPE itself was created on top of the Ethereum Blockchain with an ERC20 standard. 

PEPE itself is not a BRC20 Token with a Bitcoin Blockchain standard, nor does it operate on Bitcoin in any form. 

This is why some people are confused as to why PEPE goes up with Bitcoin, because there is not much correlation. 

But, if we take a closer look at how capital moves in the crypto market, it can be seen that usually, capital moves from Bitcoin into Ethereum. 

From Ethereum, capitals move into larger market capitalization of altcoins, then into medium market capitalization ones, and lastly into smaller ones like meme coins. 

This means that, when Bitcoin goes up, usually traders will find other cryptocurrencies that are also going up, where they start from larger market capitalization and then find their way into meme coins. 

Meme Coins Will Never Beat Bitcoin’s Market Capitalization

So, that explains why meme coins in general goes up when Bitcoin goes up because of traders who are looking to capitalize on  the positive condition of the market. 

However, even though meme coins always move up, and usually go up more than Bitcoin in their percentage of price movement, they will never beat Bitcoin. 

This is because Bitcoin has a huge market capitalization with over $1 Billion, which was a result of accumulation that started since the start of Bitcoin, which was 2009. 

Meme coins typically have a huge number of supply ranging from billions to trillions of tokens, which means that if the token were to ever reach $1 per token, their market capitalization would be in the billions to trillions of dollars. 

Those numbers mean that meme coins will beat Bitcoin as Bitcoin needs more than 10 years to reach its current market capitalization. 

Which is why most meme coins will have a hard time reaching a value of $1 per token or coin, which proves that meme coins will never beat Bitcoin.

So, if you are a degen trader expecting your meme coin or token to go up to $1, you should really take a look at its maximum and circulating supply and calculate them in comparison to Bitcoin’s market capitalization. 

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