Dogecoin (DOGE) price has been recovering over the last few days as the market continues to struggle with the effects of the FTX/Alameda debacle. The Crypto Fear and Greed Index is still stuck in the “Extreme Fear” zone at 20, according to data from Alternative. The sentiment of the crypto market has been hovering in the “Extreme Fear” area since the news of FTX’s and Sam Bankman-Fried’s mismanagement of customer deposits and the exchange’s illiquidity issues hit the wires earlier this month.
In spite of this negative sentiment, DOGE has so far displayed some strength, rising 13.8% over the past four days.
Dogecoin Remains Solid With Majority of The Holders In Profit
DOGE is still on track to be one of the most favorite cryptos among digital asset investors who are seeking coins with the most potential. The two largest assets by market capitalization Bitcoin (BTC) and Ethereum (ETH) are favorites among investors often providing them with large profit margins.
However, with the crypto market crash, DOGE investors have recorded higher returns compared to the larger assets and market leaders. During a market downturn, assets’ prices plummet while their profitability hit new record lows.
2022 has been a roller coaster for both Bitcoin and Ethereum where the cryptos have been fluctuating between profit and loss. Following the collapse of the FTX crypto exchange, both BTC and ETH have seen the majority of their holders being underwater.
Things, however, appear to be different for Dogecoin.
Tesla billionaire CEO Elon Musk’s official acquisition of Twitter in late October triggered a rally in DOGE price. The meme coin leaped an impressive 170% from $0.0594 on October 25 to hit a high of $0.1588 on November 5. At the time of writing, Dogecoin has lost more than 50% of these gains but at $0.082, its holders are still in profit when compared to investors holding other top-cap cryptocurrencies.
According to data from IntoTheBlock, an on-chain, and market data analysis firm, more than 50% of Ethereum and Bitcoin investors are in losses, but 56% of all DOGE holders are in profit at the current price (see the GIOM chart below). This is a significant deviation from the current trend where investors are making heavy losses with even Dogecoin’s biggest rival Shiba Inu seeing only about 15.53% of its holders in profit at the current price.
Dogecoin GIOM Chart
IntoTheBlock’s Historical In/Out of the Money (HIOM) model also shows that 69% of all the long-term investors have held DOGE for more than one year with 53% of them in profit. Sentiments around the Elon Musk-backed coin are somewhat bullish given these factors.
Dogecoin Price Analysis: Bulls Have To Hold Firmly Above $0.08
DOGE is struggling to hold above a critical support level embraced by the $0.080 psychological level (S-1). Dogecoin has also formed a series of higher lows since turning down from the $0.1588 high, with its upside capped by a bearish descending trendline.
However, the ongoing recovery has seen the price breach this resistance line, signaling strength amongst buyers. Bulls will likely stay in control, especially with Cardano trading above two of the major moving averages, including the 100-period simple moving average (SMA) (in blue), and the 200-period SMA (in purple) as shown on the 12-hour chart below..
DOGE/USD 12-Hour Chart
Dropping below the $0.080 support level could spell doom for Dogecoin’s price as it might trigger another sell-off.
Market participants seeking to short current levels must wait until DOGE produces a 12-hour candlestick close below $0.080 to avoid a bear trap which quickly rebounds to the upside. If this happens, the price may drop first toward the 200 SMA currently sitting at $0.072 or the $0.06 support flow where bears can take profits on the downside.
On the upside, a 12-hour candlestick close above the $0.080 support line could mark the beginning of an uptrend. Potential take-profit targets to look out for as DOGE recovers include the $0.090 psychological level, 50 SMA at $0.098, and the $0.1 resistance level.
The Stochastic oscillator in the same 12-hour timeframe confirms the strong bullish grip on the price. The price strength at 75.44 suggests that Dogecoin price is firmly in the hands of buyers who are focused on sustaining the recovery and pushing the price toward $0.1 and maximizing their profits.
Other Promising Presales Serving As DOGE Alternatives
According to the analysis above, Dogecoin price must hold above $0.08 to avoid further losses to $0.06. While the general outlook for Dogecoin is positive, it may take longer to cement a recovery that may be stifled by the uncertainties in the current bear market. In such conditions, intuitive investors look for promising presales that have the potential to multiply their investments once they are listed on exchanges. A couple of these presales are discussed next.
IMPT is one of the green cryptocurrencies coming to the market soon. It is designed to allow users to earn and trade NFT-based carbon credits. One can also earn IMPT NFTs by shopping with a wide range of eco-friendly retailers. Its tokenization of carbon credits as NFTs means that such credits can be tracked more transparently, helping to solve many of the problems that have undermined carbon markets up until now.
IMPT presale is ongoing at the moment and the IMPT team has so far raised over £13 million in just a few weeks, making it one of the most popular crypto sales at the moment.
Calvaria is a card-trading game based on blockchain technology, in which players can participate in the battle using their NFT-based cards and even earn rewards. Interestingly, it allows gamers to take part in the game without holding any crypto, which could help make it more popular than other crypto-based games.
Calvaria is currently in the 4th stage of the pre-sale with more than 90% of the RIA tokens sold.
90% + sold in the 4th stage!
— Calvaria: Presale is Live! ✨ (@CalvariaP2E) November 23, 2022
RIA is the native token of the Calvaria ecosystem and is used to purchase in-game items and earn rewards for securing the network through staking. The presale for the RIA token has raised $1.9 million and is currently in its fourth stage, during which 40 RIA can be bought with 1 USDT.
Dash 2 Trade – High Potential Presale
- Active Presale Live Now – dash2trade.com
- Native Token of Crypto Signals Ecosystem
- KYC Verified & Audited