Dogecoin’s profitability is still at a decent level despite the recent market turmoil
Dogecoin, the first memecoin on the cryptocurrency market, shows a decent level of profitability despite the correction in the cryptocurrency market. Compared to bitcoin, DOGE has lost less of its value with adjusted volatility, according to IntoTheBlock.
As the data shows, Memecoin’s profitability currently sits at around 53%, which puts Dogecoin well above the majority of the cryptocurrency market. Its biggest competitor, the Shiba Inu, is showing little profitability for investors with 31% in 2021.
A gain of fifty percent or more of a digital asset reflects a healthy supply distribution and generally reflects a stable future for the asset. Dogecoin’s profitability has been around the 50% level for a long time, although the asset has lost over 80% since the ATH.
The relatively high level of profitability is due to the volume of entries made by investors during the cryptocurrency’s downtrend. During its path, DOGE gave investors a number of excuses for entry, including Elon Musk’s “promotional” tweet, Tesla’s urge to accept Dogecoin as payment for EVs, and other events leading to the rise in Dogecoin’s popularity. Hui.
Additional on-chain indicators are showing a short-term bearish trend with a decline in large transactions on the network and negative network growth, currently at negative 0.15%.
Both factors correlate with the general trend of the cryptocurrency market, which has lost billions in capitalization as more traders and investors are leaving the room for better times. In the past 48 hours, bitcoin has fallen below $30,000, while currencies such as Ethereum are losing more than 10% of their value.