10/26/2022 | Decrypt
Dogecoin Joins Ethereum in Double-Digit Gains as Crypto Rallies
Like a dog with two tails. Dogecoin and Shiba Inu have staged impressive rallies this morning.
As the cryptocurrency market stages a strong recovery following last week’s selloff, meme coins Shiba Inu (SHIB) and Dogecoin (DOGE) have posted significant gains over the past 24 hours.
DOGE, the largest and perhaps most well-known meme coin, rose nearly 10% over the past day. The canine crypto is currently trading at a new monthly high of $0.065, according to data from Coingecko.
DOGE, the tenth-largest cryptocurrency with a market capitalization of just under $9 billion, is now well ahead of Polkadot’s (DOT) market cap of $7.5 billion.
Dogecoin’s trading volumes across different exchanges are upbeat too. The cryptocurrency’s trading volume clocked above $682 million over the past 24 hours, up 178% from the previous trading day.
Today’s heroics has helped DOGE reverse its weekly and monthly losses. On a monthly note, DOGE has gained nearly 7.6%, suggests Coingecko.
Despite today’s double-digit rise, though, DOGE is still down 91% from its all-time high of $0.7315 recorded in May 2021.
DOGE futures positions worth $2.22 million have been liquidated over the past 24 hours, according to data from Coinglass. Most (78.96%) of the liquidations came from blown-out short positions.
Besides the broader market's bullish momentum, reduced miner reserves and steadily increasing long-term holders have also attributed to DOGE’s bullish price action.
The total miner reserve is at 4.39 billion DOGE, down nearly 65% over the past 12 months to levels last seen in December 2013, according to data from IntoTheBlock.
Miner reserve indicates the total amount of DOGE coins held in miner-affiliated wallets that haven’t been sold. A decrease in the metric's value means that most miners have already cashed in their revenues.
Nearly 2.81 million addresses have been holding Dogecoin for more than one year, which has doubled year-to-date, according to data from IntoTheBlock.
SHIB tails Dogecoin gains
The second-largest meme coin in market capitalization, Shiba Inu (SHIB), is also up 4.4% over the past 24 hours, per data from Coingecko.
SHIB showed a 141.73% increase in daily trading volumes over the same period and, as of this writing, trades at $0.00001046. With a market capitalization of $6.152 billion, SHIB is the 14th-largest cryptocurrency.
Unlike DOGE, SHIB’s 24-hour gains are insufficient to bridge its monthly losses. SHIB is down 5.1% over the past 30-days.
Despite today’s modest gains, SHIB is still down 87.9% from its all-time high of $0.00008616 recorded in October 2021.
According to data from Shiba Burn Tracker, nearly 634,397 SHIB tokens have been burned over the past 24 hours. SHIB burns are directly correlated with the activeness of the community within the Shiba Inu ecosystem.
Unlike other conventional tokens, where every transaction burns a part of the value, SHIB burns happen via multiple possible ways, as described by Shib Burn Tracker.
For example, you can listen to Flave Beats’s music on Spotify and 50% revenue of the artist will be used to buy and burn SHIB.
On September 30, 270.413 million SHIB was burned. Since then, SHIB burns have remained on a downtrend.
The reduced burn figures indicate a reduction in community interest, leading to modest gains in a raging bull market.
Besides Dogecoin and SHIB, Bitcoin and Ethereum have also staged an impressive recovery.
The leading cryptocurrency has risen 5.2% over the past 24 hours, with Ethereum jumping a whopping 12%.