Dogecoin Decline Not A Deterrent As Majority Of DOGE Holders Remain In Profit

Dogecoin cryptocurrency physical coin held between two fingers.

Dogecoin cryptocurrency physical coin held between two fingers.

Dogecoin (DOGE) saw a drawdown in price after Elon Musk inevitably removed the Shiba Inu dog and put that the official Twitter logo on the social media platform. But despite this development, it hasn’t much affected the profitability margins of DOGE investors, the majority of whom continue to see profits on their meme coin holdings so far.

55% Of Dogecoin Investors Still In Profit

Even after an over 10% decline over the last two days that has brought the price of Dogecoin back to the $0.08 level once more, the better majority of holders are still seeing a profit. According to data from IntoTheBlock, a total of 55% of all DOGE investors are still ‘in the money.’

This currently leaves around 39% of investors who are losing money at current prices and the remaining 6% being neutral, meaning that they last bought their coins in the same price range as DOGE is currently trading.

Interestingly, the number of long-term DOGE holders is still on the rise. The meme coin is now boasting a total of 73% of all investors who have now held their tokens for more than a year, a fact that has been bullish for any digital asset in the past. The more these investors hold their coins, the less likely they are to sell, hence, removing a certain amount of sell pressure from the market.

Majority of DOGE holders in profit | Source: IntoTheBlock

DOGE whale transactions (transactions with a total value of over $100,000) also ballooned in the past week, reaching over $2.89 billion in this 7-day period. There was a notable rise during the middle of the week when the Elon Musk hype was at its peaked, but these large transactions have eased up as the price of the meme coin has plummeted.

DOGE Falls In Line With Crypto Market

DOGE’s decline over the last few days has put it back in tandem with the general crypto market once more. Instead of a crazy breakout, the meme coin is moving much more slowly, which is in line with the overall momentum of market movers like Bitcoin and Ethereum

Dogecoin has now shed the majority of its gains from earlier in the week but is still looking quite strong in the mid to long term with prices above its 50-day and 100-day moving averages. Its first resistance now lies just above $0.09, which is not discouraging especially given the fact that there is now ample support above $0.08. As long as the meme coin is above to maintain this support, then a retest of $0.1 will happen sooner rather than later.

Nevertheless, DOGE is still seeing significant losses compared to the rest of the cryptocurrencies in the top 10. It is down over 9% in the last 24 hours, making it the worst performer of the bunch. However, DOGE is doing well on the weekly chart with 11% gains and its daily volume continues to trail above $1.3 billion.

DOGE returns to $0.08 level | Source: DOGEUSD on TradingView.com
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