DogeCoin (DOGE) Keeps Outperforming in Falling Crypto Market

DogeCoin (DOGE) has outperformed the altcoin over the past week, gaining more than 20% in value to nearly $0.007 on Tuesday. In a depressed market with many tokens having lost some 90% from their peak valuations, DOGE is just around 60% below “moon” prices of $0.018 at the beginning of the year. Initially dismissed as a joke due to its meme-based fame, now there are speculations that it is precisely this cool profile that may bring DOGE back to fashion.

https://twitter.com/crazy_crypto/status/1038745421127012352

What is even more interesting, DOGE prices in Satoshi are nearing their level of above 100 Satoshi, achieved at the height of the bull market in January 2017.

But DOGE is also showing other signs of being a robust cryptocurrency. It has one of the most numerous Reddit communities, with more than 123,000 subscribers and regular activity. DOGE also serves as a currency for tipping through Telegram.

https://twitter.com/kerooke/status/1039210530383126528

Yet, a major factor for the rise in DOGE prices is the effect of Bittrex DOGE/USDT trading. While DOGE traded in a pair with Bitcoin, it was easier to dismiss the low-priced coin as a joke. Many believed the first run-up of DOGE from lows of $0.002 to $0.006 would be short-lived, and DOGE would return to baseline levels.

But now the coin has a direct ramp for speculation against the dollar. The trading profile of DOGE continues to transform, as data from CryptoCompare reveals. Today, more than 35% of all DOGE trading happens in the DOGE/USDT pair, potentially lifting the price to higher speculative positions. Gate.IO and ZB.Com are still the leading exchanges for DOGE, also carrying significant DOGE/USDT volumes.

Additionally, DOGE has an informal OTC market for small-scale purchases, offering PayPal payments. Such a market would be risky and prone to fraud, therefore the r/dogemarket subreddit has also compiled a list of escrow services. The presence of an OTC market with 10,500 subscribers shows significant interest in acquiring DOGE informally.

Additionally, the DOGE network carries more than 31,000 transactions per day on average, based on Blocktivity data. The supply of DOGE now exceeds 116 billion, as new DOGE will be constantly created through joint mining with Litecoin (LTC). DOGE is, thus, secured by a network of powerful SCRYPT ASIC rigs. The supply of DOGE is close to that of TRON. However, it is hard to determine whether DOGE owners would want to hold onto the asset, use it directly, or liquidate it, possibly crashing the exchange price.

Neither the author nor the publication assumes any responsibility or liability for any investments, profits, or losses made as a result of this information. Cryptocurrency trading and investing are risky propositions, and market participants are advised to always conduct thorough research.