Dogecoin price action has had quite a selfless year than most would expect from the largest coin. Although it is currently up about 77% from its June 2022 bear market low of $0.053, the crypto lags behind to the top cryptocurrencies like Bitcoin, Ethereum and Solana so far in 2023.
On the bright side, DOGE’s on-chain metrics have exploded recently, pointing to a potential rebound on the horizon which could see Dogecoin reach new highs.
Dogecoin Market Overview
DOGE has grown exponentially since its early days as the only coin in the crypto industry to now become the 10th largest crypto asset by market capitalization. According to Galaxy Digital, DOGE is worth almost twice as much as Wyndham Hotels & Resorts and almost as much as Nissan with its current market cap of $13 billion. However, Dogecoin had a difficult 2023, underperforming against major cryptocurrencies.
At the time of writing, Dogecoin is trading at $0.09109, 87% below its all-time high of $0.7315. DOGE is now 940 days into its current bear market, 217 days shy of the historical average. According to a report from Galaxy, this prolonged bear run has only happened twice in DOGE’s lifetime.
Over the past two cycles, the meme coin has seen 1,192 days and 1,117 days of depressive price action, hitting over 85% below previous all-time highs.
Source: Galaxy Digital
Although DOGE is now trading 543 days above its 2022 low, it remains underperforming compared to the last two cycles. During the first cycle, it took 977 days for DOGE to climb to its all-time high from the 2015 low. Likewise, it took only 423 days to move from its 2020 low to current all-time high.
DOGE price succumbs to bear pressure | Source: DOGEUSD on Tradingview.com
What’s next for DOGE?
Things started to change in mid-October 2023, as the broader crypto market entered a bullish sentiment. Since then, the crypto has been booming, recently pushing its price above $0.1 for the first time this year to record a yearly high of $0.1018.
This growth can also be attributed to Doginals (DRC-20 tokens), the Dogecoin tokens. equivalent of BRC-20 tokens. These Doginals have seen massive growth since their launch in May, with a cumulative market capitalization of $100 million. At the same time, Dogecoin has seen a massive influx of new and active users, something it has lacked for most of the year. More than 282,000 non-zero balance addresses have been added in the last 30 days as holders head down.
Dogecoin has now returned above the $0.1 mark and is now trading at $0.09109. If these metrics continue their upward trend through 2024, DOGE could see a price reversal to surpass the $0.1 level and push to $0.2 for the first time since 2021. According to IntoTheBlock data, 235,150 addresses are waiting to make a profit at a price level of around $0.1 .
Featured image from GoBankingRates, chart from Tradingview.com
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