BTC
94,966.41
+1.63%
ETH
3,306.88
-0.13%
USDT
1.00
+0.06%
XRP
2.32
+0.48%
BNB
697.41
-0.19%
SOL
191.88
+0.22%
DOGE
0.33626471
+1.67%
USDC
1.00
+0.00%
ADA
0.95458101
+4.94%
TRX
0.24289052
-0.73%
AVAX
37.54
+2.32%
SUI
5.11
+10.54%
TON
5.27
+0.66%
LINK
20.38
+2.27%
SHIB
0.0₄21721
+2.67%
WBTC
94,865.96
+1.72%
XLM
0.40661686
+1.54%
HBAR
0.28312663
+4.51%
BCH
433.92
+1.81%
LEO
9.06
+0.61%
By Shaurya Malwa|Edited by Parikshit Mishra
Jan 10, 2025, 10:47 a.m. UTC
What to know:
- Dogecoin has experienced a significant drop in market cap, slipping 28% since the beginning of the year.
- Low crowd sentiment suggests a potential buying opportunity for contrarian traders.
- Despite this, there are signs of renewed interest from large investors, with increased whale activity and a historical tendency for strong January performance.
Weakness in bitcoin (BTC) has deferred to other crypto majors from Solana’s SOL to memecoin dogecoin (DOGE), data suggests current levels could prove ripe for risk-on traders.
“Crypto’s top meme coin Dogecoin has been extremely quiet outside of a temporary run-up at the beginning of the year,” analytics firm Santiment wrote in a Thursday report, citing social metrics and sentiment based on online chatter.
“Since its top exactly one month ago, Dogecoin has shed -28% of its market cap. Crowd sentiment has been near its lowest point over the past year. (This) means there is actually some nice upside to be a daring contrarian toward DOGE (in particular) if crypto markets begin to trend upward again,” the firm added, with crowd sentiment on DOGE currently at low levels of 1 out of 5.
The sentiment check aligns with a CoinDesk analysis from earlier in the week.
Large investors, or “whales,” are showing increased interest in DOGE, with transactions over $100,000 spiking to hint at potential price bumps in the short term. Futures markets for DOGE set a new record for open interest late Tuesday, though they have since tapered off alongside a market-wide decline.
As such, January has been Dogecoin’s best-performing month historically, averaging an 85% return. Technical indicators like the 50-day SMA suggest a bullish trend for DOGE with a short-term target at 50 cents — a more than 30% bump from Friday’s 33 cents level.
Sentiment for other majors remains mixed. Bitcoin is neutral after a dip and recovery, now ranging between the low to mid $90,000 levels. Ether sees bearish sentiment despite prices holding above $3,000. XRP is bullish after an 18% rise in the past week, and Binance Coin ($BNB) shows neutral sentiment post-drop below $700. Solana remains semi-bullish despite underperformance, with a loyal community buying dips.
Meanwhile, Cardano’s ADA led a market-wide recovery in Asian afternoon hours on Friday with a 5.5% move in the past 24 hours. The broad-based CoinDesk 20 (CD20) rose 1.04%, with Solana’s SOL, BNB Chain’s BNB, ether (ETH), rose as much as 1%.
Traders showed a preference for AI Agent tokens Bixby, Cookie DAO’s COOKIE, and ChainGPT rose as much as 50% on Binance spot listings. Viral token ai16z was up 11% and the agents category up was 8% on average, leading growth among all other crypto sectors.
Shaurya is the Co-Leader of the CoinDesk tokens and data team in Asia with a focus on crypto derivatives, DeFi, market microstructure, and protocol analysis.
Shaurya holds over $1,000 in BTC, ETH, SOL, AVAX, SUSHI, CRV, NEAR, YFI, YFII, SHIB, DOGE, USDT, USDC, BNB, MANA, MLN, LINK, XMR, ALGO, VET, CAKE, AAVE, COMP, ROOK, TRX, SNX, RUNE, FTM, ZIL, KSM, ENJ, CKB, JOE, GHST, PERP, BTRFLY, OHM,
BANANA, ROME, BURGER, SPIRIT, and ORCA.
He provides over $1,000 to liquidity pools on Compound, Curve, SushiSwap, PancakeSwap, BurgerSwap, Orca, AnySwap, SpiritSwap, Rook Protocol, Yearn Finance, Synthetix, Harvest, Redacted Cartel, OlympusDAO, Rome, Trader Joe, and SUN.
