The cryptocurrency market has been roiled by volatility recently. While the Federal Reserve announced the interest rate cut investors had been hoping for and indicated that it will likely cut rates again next year, most tokens have still seen some significant sell-offs following the news.
Concerns that valuations for artificial intelligence (AI) companies are in dangerous bubble territory have been having a big impact on the crypto space, and the speculation has pushed many tokens into negative territory on the year. As of this writing, XRP (XRP 1.29%) is down 1% year to date. Meanwhile, Dogecoin (DOGE 2.03%) has plummeted 55%. Which of these leading cryptocurrencies is the better buy on the heels of recent pullbacks?
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XRP vs. Dogecoin: Which is the better buy?
XRP and Dogecoin are both top-10 cryptocurrencies by market capitalization. XRP is currently the third-largest token, excluding stablecoins. Meanwhile, Dogecoin is the seventh-largest token by market cap.
For a meme coin, Dogecoin has demonstrated impressive longevity and adoption trends. The meme coin's valuation could certainly bounce back above current valuation levels, but XRP continues to be the better buy for long-term investors.
CRYPTO: XRP
Key Data Points
While there are now exchange-traded funds (ETFs) built around both XRP and Dogecoin, the former enjoys much stronger levels of institutional support. With XRP having been built with cross-border payments in mind and tie ins to other technologies and products from its creator Ripple Labs, the cryptocurrency also has a much stronger fundamental valuation case than Dogecoin. If the crypto market returns to a strong bullish phase, both cryptocurrencies will likely rise -- but XRP stands out as the better buy.
