The DOGS token is experiencing a rapid surge in popularity, currently holding the third position in terms of holder count, trailing only behind USDT and ETH.
Ever since its inception on Telegram’s TON blockchain, DOGS has witnessed exceptional growth, boasting over 17 million token claims and 4.5 million unique wallets harboring the token.
This memecoin, inspired by Pavel Durov’s depiction of a dog, has swiftly emerged as one of the most extensively owned tokens in the history of cryptocurrency.
With a staggering 1.1 million daily active users and a peak of 14.4 million transactions in a single day, DOGS has set new benchmarks in user engagement.
Heading into September, TON anticipates larger token generation events (TGEs), potentially ushering in millions of new users.
While this rapid expansion may pose technical hurdles, the primary focus remains on scalability and addressing any challenges to facilitate widespread adoption.
Token Price Movement within a Range
Examining the price action of DOGS, its DOGS/USDT pair currently exhibits a bearish trend since the token’s inception.
Following an initial surge, subsequent consolidation, and another spike, the token has trended downwards, hitting a low of $0.0009233.
Throughout September, it has traded within a sideways range, hinting that the bottom may have been reached.
If the token manages to hold above $0.0009233, a potential price increase is on the horizon, with a chance to reach its previous peak of $0.00166, marking a 72% gain.
However, a drop below this crucial support level would necessitate a reevaluation to determine the next price target.
Trading Volume and OI-Funding Rate
The trading volume and open interest (OI) for DOGS also convey positive signals. To date in September, the trading volume has remained robust, reaching $859.24 million at a price of $0.0011.
The current open interest sits at $124.57 million, indicating a mounting interest in the token, particularly after several traders sold their tokens post the airdrop.
The OI-weighted funding rate presently stands at 0.0069%, indicating that token holders are compensating traders who are closing their positions. This scenario suggests a harmonious blend between long-term holders and short-term traders.
Comparison with USDT & ETH
When juxtaposed with USDT and ETH, DOGS displays substantial liquidity. The volume-to-market cap ratio stands at 53.63%, signifying adequate liquidity to accommodate increased trading activity for DOGS.
This elevated ratio generally indicates a strong investor interest that can foster more volatile price fluctuations.
Despite DOGS having a smaller market cap in contrast to its counterparts, the token’s liquidity and burgeoning user base are positioning it for a possible price rebound, especially as the initial selling pressure post-airdrop subsides.
The momentum DOGS is gathering within the market could propel it towards higher price points in the foreseeable future.