One of such cryptocurrencies is the Dogecoin (DOGE), which was originally conceived as the ‘meme coin’. Thus, at the moment the price of a share is $ 0. 09723, DOGE constantly trading at 1. by increasing by 88 percent in the last 24 hours MORE its attractiveness among both retail traders and institutional investors.
As it is, Dogecoin has an approximate market capitalization of $14. 18 billion, a 1. That’s 96% more for the past day. This market cap makes DOGE as the eighth largest cryptocurrency in the market, which is evidence of its large hold in the digital currency market. Based on an active community pushed for by the famous Elon Musk and growing popularity as both an investment vehicle and means of transaction, Dogecoin is now gaining attention again for the spot it occupies in the cryptocurrency market.
The trading volume for Dogecoin has also can also be seen to have increased significantly with values reaching $506. Taking for example the amount of DOGE traded in the last 24 hours amounts to 4 million. This represents an 83. This led to an increase of 85% of the trading volume which placed DOGE among the top fifteen currencies by daily trading volume, occupying the 12 th position.
Volume has increased at a fast pace indicating that that people are actively trading in Dogecoin, not due to product redesign but likely caused by market speculation, social media or other factors as observed in the rest of the cryptocurrency markets. High trading volume entails that the prices will fluctuate with high frequency; therefore, it is clear that Dogecoin still occupies a very active space within the market.
The volume to market cap ratio for Dogecoin currently is 3. At 56%, we have what may be considered as a reasonably active market condition with good measure of market fluidity. This ratio is greater than actually in many other large-cap cryptocurrencies, which perhaps means that a high portion of the overall market capitalization of Dogecoin is in trading. For the investors this can be seen as both market active and random fluctuations, short-term or short-term and high frequency.
It is worth noting that Dogecoin’s circulating supply is fully released at 145. 79 billion DOGE that is equal to its circulating supply. A key thing that is different about Dogecoin is that there is no fixed number of coins that can be created which means that DOGE can in fact be minted to infinity. This unlimited control is one of the aspects that make it different from the other cryptocoin, the main factor backed up the use of Dogecoin as a medium of exchange and not a store of value like the bitcoins. But, It also enters the issue of the cumulation of supply creating inflationary tendencies, the absence of cap poses the question of how investors can retain value for the long run when there is constant issue of new tokens.
The Fully Diluted Market Cap of Dogecoin is quite similar to its Current Market Cap of around $14. 21 billion. This has been pegged by the fact that all DOGE in existence are in the market hence the current price represents the reality of the market perception of the worth of DOGE. This also means that for Dogecoin, its price volatility will be more determined by the market demand than by supply side factors such as changes in token supply.
Finally, it can be stated that DOGE still occupies a large popularity among other cryptocurrencies; it has a highly developed community, recognition, and constant turnover in the market. Dogecoin currently boasts of a huge market cap, rising trading volume, and the peculiar feature of having an exhaustible supply therefore, the coin is bound to have both the benefit and drawbacks to various investors.
Given the fact that DOGE has its own army of fans and can still attract more supporters, it has a very interesting future in the infinitely developing space of digital assets. The major advantage that the buyers will be observing in Dogecoins is its intensive trade throughout the market and highly possible short timespan returns, despite the fact that the investors may need to consider the detriment of evaluating high inflationary nature of the cryptocurrency.
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