Dogecoin remains one of most profitable assets on market, but its performance leaves much to be desired
The profitability of Dogecoin has always been a sensitive topic, as the high volatility of Mim Coin usually threatens the stability of investors’ portfolios. The most recent 120% run improved DOGE’s position in the market and placed it among the top three most profitable assets with a market capitalization of over $10 billion.
In the last two weeks, Dogecoin has been gradually losing its value despite having an explosive performance back in November and October. The price of the meme coin tumbled from 14 cents to 7 cents in a matter of two weeks and, despite bouncing off of the local support level, DOGE continued to move in a downtrend since the beginning of December.
The descending volume profile is yet another confirmation of meme coin’s poor position on a market that has yet to return to pre-pump values due to a lack of proper market making and interest from both bulls and bears towards the coin.
With the lack of rumors and news about the potential implementation of Doge into Twitter, retail investors quickly lost interest in the asset and decided to drop most of their holdings as the price momentum of the assets left much to be desired.
The future for dog-themed coins doesn’t look too bright either. It is not yet clear whether another driver for the coin will appear in the near future, and with the lack of speculative interest in the coin, a further drawdown and rangebound trading may be the most likely scenario from here.
At press time, Dogecoin is trading at $0.08 and losing more than 2.4% of its value in the last 24 hours after falling below the local trendline support.
