- Dogecoin outperformed other top memecoins in terms of profitability
- Address stats revealed that accumulation, HODLing have been taking place at lower prices
Dogecoin is still the market’s most dominant memecoin with the highest market cap, despite intense competition from many newer cryptos. However, that is not the only way that it is winning.
In fact, a recent IntoTheBlock report found that Dogecoin might be the most profitable memecoin for the average investor. According to the same, DOGE had the highest number of holders in profit with figures of 72.75%. What this means is that it outperformed other popular memecoins such as FLOKI, PEPE, and SHIB.
Such has been the memecoin’s performance, despite the fact that Dogecoin is still trading at a substantial discount from its historic all-time high – An approximately 85% discount at its $0.107 press time price.
This is a sign that the cryptocurrency has many holders who bought below its press time level.
Source: TradingView
Additionally, the findings suggested that many memecoin traders still believe that Dogecoin still has a lot of upside potential.
In a way, this interest in DOGE is a lot like how Bitcoin still receives most of the attention in the crypto market. The common denominator being that Bitcoin and Dogecoin are the pioneers in their respective fields.
What does it man for Dogecoin’s future?
Give its dominance in the memecoin sector, it’s worth exploring the scale of this dominance.
According to IntoTheBlock’s historic in/out of the money metric, 4.63 million addresses (72.4%) were in the money while 168 million addresses (26.85%) were out of the money, at the time of writing. Also, just over 86,000 addresses (1.35%) were at breakeven.
Source: IntoTheBlock
More than 50% of addresses holding DOGE have been profitable since February this year. Interestingly, Dogecoin registered a massive rally towards the end of February. Part of the reason for this observation is that most of the addresses may have accumulated before February 2024.
The cryptocurrency had a lengthy low price range phase between May 2022 and February 2024, during which most holders may have accumulated.
On-chain data also indicated that the number of addresses, especially whales HODLing for more than a year, have been growing aggressively.
Source: IntoTheBlock
Dogecoin had roughly 3.85 million total addresses, as of May 2022. The total addresses count, at press time, was 6.4 million addresses. HODLers grew from 2.26 million addresses to 4.68 million addresses during the same period.
Judging by the aforementioned data, it can be deducted that Dogecoin still commands an impressive following, one that continues to grow.
It could therefore still deliver robust gains in the event that the market notes another bull run.
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