Dogecoin has gone from being a joke to one of the top 10 cryptocurrencies in the market over the past year. For many supporters, it is no longer a meme coin. Instead, it is an investment for them that is worth investing in. Isn’t that so?
Whatever the case, it cannot be ignored that the altcoin has been doing well lately.
Except for one recent anomaly, it is fine. In fact, this could also have a significant impact on the market.
DOGE sits like a good boy
Where do you ask Within 3 dormant addresses. And that in no small amount.
Between these top 3 dormant addresses, over 7.8 billion DOGE have remained unchanged for over 3 years. This DOGE is valued at well over $ 2.23 billion and accounts for about 6% of the total Dogecoin supply. In addition, the total supply of the top 10 dormant addresses totals $ 3.29 billion.
DOGE had a critical rally in April and a crash in May. There was another strong rally last month that pushed the altcoin up 85% on the price charts. And yet these HODLers haven’t moved a single coin. It’s these people who kept the HODLer numbers up.
The average holding period of the DOGE is 3.2 years, a number that corresponds to the calm of these addresses. The problem is – should they decide to give up their holdings, DOGE’s price would also fall.
However, since August 2020 the HODLer numbers have decreased by 200,000 addresses and their place has been taken by medium-term owners or “cruisers”.
Is Dogecoin still worth investing?
These cruiser numbers have increased by 1.5 million addresses in the last year. Their average holding time is around 3 months. And right now it seems like these cruisers are selling their DOGE.
Two days ago, Dogecoin fell 12% in the price charts. At the time of going to press, the depth of market orders appeared to indicate that selling took precedence over buying. Orders to sell were higher than orders to buy, by DOGE 70 million.
However, due to the high return on investment (ROI) noted by DOGE, it could attract more investors instead. Dogecoin’s ROI is now higher than Bitcoin and Ethereum.
Additionally, a strong MVRV ratio (2.25) combined with news that Watford FC bears the Dogecoin logo is likely to attract investor attention.