Crypto: Why Are 84% Of Dogecoin Holders Still In Profit?

The crypto world is as dynamic as it is unpredictable. While some currencies experience destabilizing shocks, others, like Dogecoin (DOGE), surprise with the resilience of their community. Indeed, despite constant volatility, 84% of DOGE holders remain in profit, a surprising fact in a market marked by fluctuations. But how can we explain this persistent profitability? Analysis.

Dogecoin: An astonishing resilience in a declining market

For the past few days, the global cryptocurrency market has been facing intense challenges. Geopolitical tensions, speculative activities surrounding the American elections, and economic uncertainties weigh heavily on the value of many digital assets. Dogecoin has not escaped the trend, recording a drop of nearly 13%.

Yet, the majority of DOGE investors remain in the green. According to the analytics company IntoTheBlock, 84% of DOGE crypto holders are profitable, a surprising figure when considering the volatility of this iconic cryptocurrency.

This phenomenon can be partly explained by the early entry of many holders who bought at levels well below the current price. Even after declines, their investment remains advantageous, proving the strength of this “meme coin” in a complex environment.

Current momentum

Currently, Dogecoin is trading around $0.158, with a decrease of about 2.1% in the last 24 hours. While its trading volume has dropped by 50%, a classic indicator of investor caution, the total transaction volume has increased by nearly 5%.

This suggests that some bulls still see potential in DOGE to exploit, despite the context.

The 200-day EMA (exponential moving average), a key trend indicator for traders, shows that DOGE is in a moderately bullish phase. This means that despite the current turbulence, a majority of investors maintain cautious optimism. If Dogecoin closes a daily candle above $0.163, some experts even predict a 30% rise in the coming days.

From a technical standpoint, Dogecoin appears to be moving within a short-term bearish channel, which poses a challenge for the bulls. Nevertheless, DOGE still enjoys support above the 200-day EMA, a symbolic threshold for long-term investors. A close above $0.163 could very well be the catalyst for a significant rebound, with a target around $0.21.

Its appeal lies in its active community and speculative potential, which allows a large number of its holders to remain in profit. Meanwhile, Bitcoin is in zen mode.