Since the time Dogecoin (DOGE) earned a market reputation and worth, it has proven to be a very risky asset. Dogecoin has turned out to be a very volatile cryptocurrency and its investors have already been very cautious about the meme coin.
Compared to Bitcoin and Ether, the use and fundamental cases for Dogecoin have been full of risks as well. Due to the nature of Dogecoin, many companies have continued avoiding it. There is only a handful of companies that have taken the risk of adopting DOGE.
Despite the risky nature, Dogecoin has been adopted by many investors since 2021. From the beginning of 2021 until now, Dogecoin has amassed a huge audience and many investors adopted it to benefit from DOGE’s high volatility.
Unfortunately, things have proven to be quite unfavorable for DOGE from the beginning of 2022. For almost two years, DOGE had a spell on the investors who were investing in it without asking any questions. Given the recent performance of DOGE, it seems that the spell is breaking.
Dogecoin is No Longer a Good Lad
The past week has turned out to be one of the worst weeks for the entire cryptocurrency industry since the beginning of 2022. Although things proved to be devastating for the entire crypto-verse, they were uglier for DOGE compared to the rest.
It was back in May of 2022 when Dogecoin ended up facing the worst situation. The performance graph for DOGE shows that for 13 months, the trading price of DOGE has continued plummeting. This is the reason why the trading price of DOGE has pulled down to a low of $0.0541.
For a while, the trading price of DOGE continued facing the downtrend with its head held high. It happened because, until the end of 2021, it had the support of the whales. However, as DOGE was not able to recover despite all the efforts of the investors, its price continued dipping.
Therefore, the whales started getting subsided. Their absence from the Dogecoin market resulted in a huge lack of interest among common investors. The overall supply of Dogecoin that the whales had in their possession was 46.85%. The report shows that the whales move away from their investments in January.
As of now, the trading volume for DOGE is only around $200 million. However, when DOGE was performing at its best, its trading volume was over $5 billion on average.
Mid- and Short-Term Investors are vanishing
Due to the constant dips, the investors have been moving away from DOGE. The data records that the mid-term and short-term investors are leaving DOGE. This is a bad signal for the long-term investors who are trying to stay loyal to DOGE.
The data shows that in the past 7-days, the trading price of DOGE has dipped by 29.71%. Now, it seems that the trading price of DOGE may not be able to recover very soon. Only huge investments coming DOGE’s way may be able to uplift its trading price in the upcoming days.