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Dogecoin is at the beginning of long growth, the activity of whales is growing

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After a not very successful period, which occurred after the May correction, it became popular Dogecoin wakes up again and interest in this project is so massive that it has even surpassed ETH in some countries. According to a new research report, the activity and interest of investors in this project is the strongest in history.

Dogecoin is hiring new investors

Reports of the inflow of new investors into the project were recorded by the analytical company Chainalysis. Dogecoin is going through a period that last took place to such an extent in 2017 during the strong bullrun of the entire crypto market.

According to the report, the greatest contribution to the growing activity of investors is given mainly to perfect marketing and social networks, which, from the point of view of Dogecoin, are mainly driven by Elon Musk and Mark Cuban.

The current significant price increase is largely due to the influx of new users. So we can certainly expect another price boom, because the influx of investors is not currently stopping.

Investors make up a quarter of DOGE’s offer

Trends on the social network TikTok, Elon Musk and basically the Reddit portal are largely behind the success of Dogecoin, whose offer is currently up to quarters made up of investors and whales. This is a huge leap, as during July 2020 it was only 9%.

From the point of view of long-term investors resp. Hodlers who have been holding Dogecoin for more than two years currently account for 20%, a reduction of 10% compared to July 2020.

A large amount of DOGE is in the whales’ wallets

The new investments that have been poured into the DOGE project represent a minimal share compared to the part focused on whale wallets. According to the Chainalysis report, new investors make up 1 to 2 million active users, but most of the ownership of the DOGE blockchaine is highly concentrated in a smaller number of entities.

A similar analysis came from the RobinHood trading application, which defines Dogecoin trading volumes, which also rose sharply. As much as 62% of income from cryptocurrencies in the second quarter came from the DOGE trade.

All content in this article is for informational purposes only and in no way serves as investment advice. Investing in cryptocurrencies, commodities and stocks is very risky and can lead to capital losses.

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