Dogecoin among altcoin recovery rally beneficiaries
The market capitalization of the first cryptocurrency increased by $600 million as the coin rose around 10% in the past four days after the general recovery of the altcoin market, according to CoinMarketCap.
As the chart of the memecurrency suggests, it has once again reached the major resistance point of the 21-day exponential moving average, which it has failed to break the last three or four times because of a lack of buying volume.
In the long term, Dogecoin remains in a short downtrend move and loses over 80% of its value from the ATH. But despite the extremely negative performance over the past 300 days, DOGE still has a positive year-to-date performance with an increase of around 100% since March 2021.
Recovery conditions
Since its creation, Dogecoin has been a social asset, which relies heavily on the sentiment on the market and the support of the asset from various influencers in the space. In 2021, Elon Musk was the main Dogecoin supporter, whose statements launched the memecoin into space many times.
But as the community around the coin calmed down, Tesla’s implementation of Dogecoin payment and additional support for the first memecoin didn’t have the same effect, causing more panic among investors and worsening the crisis. status of the asset in the market.
The further development of the ecosystem around Dogecoin could affect its position on the market, as the memecoin has no use despite the bargaining chip. Previously, the developer community around the asset announced the further development of the asset and implementation of a new function that may transform the coin’s path.
At press time, Doge is trading at $0.12 with a price increase of 10% in the last five days, while the market cap of the same currency increases by around $600 million in the past few days. last 24 hours.
