Here’s Dogecoin’s case for being the ‘most profitable’ memecoin in the market

Dogecoin outperformed other top memecoins in terms of profitability
Address stats revealed that accumulation, HODLing have been taking place at lower prices

As a researcher with years of experience in the dynamic world of cryptocurrencies, I have to say that the performance of Dogecoin is nothing short of impressive. Having closely observed the market trends and analyzed numerous data points, it’s clear that DOGE continues to outperform its meme counterparts, not just in terms of market capitalization, but also in profitability for average investors.

Even amidst fierce rivalry from numerous emerging cryptocurrencies, Dogecoin maintains its lead as the foremost meme coin in terms of market dominance due to its substantial market capitalization. Yet, its supremacy isn’t confined solely to this aspect; it’s also triumphing in various other ways.

Indeed, a recent report from IntoTheBlock indicates that Dogecoin may be the top-performing meme coin for typical investors. This report suggests that Dogecoin (DOGE) has the highest percentage of holders who are currently making a profit, with an impressive 72.75% figure. In other words, DOGE outshines other well-known meme coins like FLOKI, PEPE, and SHIB in terms of profitability for its investors.

Even though Dogecoin currently trades significantly below its record peak, this meme coin’s performance remains robust, with its price at around 85% off its current value of $0.107.

This is a sign that the cryptocurrency has many holders who bought below its press time level.

Furthermore, the research implied that numerous meme coin investors continue to hold optimistic views about Dogecoin’s future growth prospects.

Essentially, the fascination with DOGE bears some resemblance to the ongoing focus on Bitcoin within the cryptocurrency sector. Both Bitcoin and Dogecoin serve as trailblazers in their domains, attracting significant attention due to their pioneering roles.

What does it man for Dogecoin’s future?

Give its dominance in the memecoin sector, it’s worth exploring the scale of this dominance.

As a crypto investor, I’ve recently learned from IntoTheBlock’s historical in/out of the money metric that approximately 4.63 million addresses, which accounts for about 72.4% of all addresses, are currently profiting (in the money). On the other hand, around 168 million addresses, equating to 26.85%, are experiencing a loss (out of the money). Interestingly, slightly over 86,000 addresses, representing roughly 1.35%, are at breakeven point.

Approximately half of the Dogecoin (DOGE) address holders have seen a profit since February of this year, and it’s intriguing to note that there was a significant surge in Dogecoin’s value towards late-February. This trend could be due to the fact that many of these addresses may have amassed their DOGE before February 2021, not 2024 as previously stated.

From May 2022 to February 2024, the cryptocurrency underwent a prolonged period of relatively low prices, potentially allowing many investors to amass or build up their holdings.

It seems that data recorded on the blockchain is showing an increase in the number of wallets, particularly large ones (whales), who have held onto their cryptocurrency for over a year, with this growth occurring quite rapidly.

As of May 2022, Dogecoin had approximately 3.85 million unique wallets in use. At the time this information was released, that number had increased to about 6.4 million wallets. Over the same period, the number of HODLers – those holding Dogecoin – rose from around 2.26 million to over 4.68 million wallets.

Based on the provided information, it’s clear that Dogecoin retains a significant fanbase, a group that is still expanding.

It could therefore still deliver robust gains in the event that the market notes another bull run.

2024-08-16 07:05

What does it man for Dogecoin’s future?

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