11/18/2022 | Finbold
Dogecoin holders among least stressed amid current market crisis, study finds
Cryptocurrencies have long been associated with high volatility, which makes it stressful for investors who endeavor to profit from different digital assets. However, the stress levels among investors appear to vary depending on the type of asset in question.
It has emerged that investors in the meme cryptocurrency Dogecoin (DOGE) are among the least stressed amid the ongoing market downturn, with a ‘stressful tweet’ score of 19.83% ranked 28 out of the top 33, according to a study by crypto education-centered platform Coin Kickoff published on November 17.
To determine the most stressed crypto investors, the research analyzed geotagged tweets for the hashtags of the 50 most popular cryptocurrencies by market capitalization. To find the stress levels, the researchers leveraged TensiStrength, a sentiment-tracking algorithm that places a value on stress levels within tweets.
DOGE’s increasing interest
Notably, Dogecoin registered a meteoric rise in 2021, but the asset has corrected for the better part of 2022. However, the meme coin recently underwent a relief rally following the Twitter acquisition by Tesla (NASDAQ: TSLA) CEO Elon Musk.
In this line, there is anticipation that Twitter might incorporate DOGE as a payment option on the social media giant.
In the meantime, the stress level among Dogecoin holders appears to complement the bullish stand of the DOGE community on the token’s price. As reported by Finbold, the Dogecoin community on CoinMarketCap projects that the asset will trade at $0.096 by December 31, 2022. By press time, the asset was valued at $0.08.
The study noted that holders of the Web3-focused crypto platform Theta Network (THETA) are the least stressed at 13.69%, followed by metaverse game Decentraland (MANA) at 14.87%.
FTT holders the most stressed
On the flip side, following the collapse of the FTX cryptocurrency exchange, holders of the trading platform’s native token, FTT, are the most stressed at 37.99%. Notably, the token corrected by over 80% at some point, with the value facing a possible plunge to zero.
At the same time, investors in Tether (USDT) stablecoin are the second most anxious crypto holders with a score of 35.92%, while Bitcoin (BTC) ranks third at 34.80%. Elsewhere, Cardano (ADA) and XRP holders rank in the fourth and fifth spots at 32.44% and 32.44%, respectively.
It is worth noting that the report follows a period of an extended market downturn, with leading assets dropping in value at significant levels. Although most assets have been trading in the red zone, the varying stress levels are partly based on the fundamentals of the specific digital assets.