Anika Begay
Dogecoin price has seen a significant drop in the past day following the decline in Bitcoin price. As a result, Dogecoin holders’ profitability has decreased. However, most DOGE holders continue to be profitable even in these turbulent times, which is a testament to the strength of the meme coin.
Dogecoin Profitability Remains Above 70%
With the price of Dogecoin dropping to $0.1, there has been a decline in profitability for DOGE holders. However, profitability remains high, especially when compared to other large-cap cryptocurrencies. According to data from IntoTheBlock, 73% of all Dogecoin holders are currently seeing profits at current prices.
On the other hand, the number of losing DOGE holders has remained low despite the price drop. Data shows that only 26% of all holders are making losses at this price. This puts only 2% at breakeven, meaning the price is currently stuck at the point where they bought their coins.
What these percentages represent is that a total of 4.65 million Dogecoin addresses are currently in profit. Next on the list is the number of wallets that are “Out Of The Money,” which stands at 1.64 million addresses. This leaves 105,260 wallets at break even.
The current levels represent one of the highest levels of Dogecoin profitability in the year 2024. It is only a small step up from the March 29 high of 88.89%, when DOGE price rose above $0.2 to reach a new yearly high.
DOGE Transaction Volume Collapses
Dogecoin transaction volume has also seen a decline along with the price. In the first week of August, there was a sharp increase in the number of large DOGE transactions, reaching as many as 1,630 transactions in a single day. However, as the month progressed, this number decreased significantly.
As of August 11, the total large trades had fallen below 1,000 to 938 trades, suggesting a decline in large investor participation. During this period, large trade volumes fell from $1.52 billion to $607.48 million.
During this period, Dogecoin volatility has also remained high, continuing to hold its figure above 79%. This volatility has been seen playing out in the market as the price has also fluctuated wildly. If the volatility continues to rise, then the DOGE price could see some wild swings from here on out.
Featured image created with Dall.E, chart from Tradingview.com
