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Dogecoin's big day
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Dogecoin investors prepare for ‘DOGE Day’ as the memecoin scales to new heights
Key points:
DOGE’s price has risen by over 5% in the past 24 hours.
Out of the top 50 meme coins, DOGE witnessed the highest social volume.
News - The crypto community celebrates ‘Doge Day’ every year on 20 April. The date was chosen to honor the 420 meme as a way to remind the world of the not-so-serious origins of Dogecoin. Historically, DOGE’s Day month has been good for its price.
Why is this important? The world’s largest memecoin has always been a polarizing topic for discussion in the crypto industry, especially with regards to its price. Despite a tumultuous start to the month, Dogecoin prices are finally outperforming the market with a 40% surge over the past seven days. Investors are now eagerly waiting for ‘Doge Day’ to see if it could take the memecoin’s price to $1. This was because, in previous years, DOGE saw a tremendous amount of activity around April.
For instance - In March 2019, Dogecoin’s price traded around $0.0020. By the next month, the coin’s value had increased to $0.0031. In 2020, the value jumped from $0.0017 to $0.0025 between March and April. The year 2021 was when the coin experienced its biggest gains as the price rallied by over 18,000% from 2020’s DOGE Day.
However, it was a different scenario in 2022 as the coin failed to tap fresh highs due to the bear market. But by 2023, it was back to business. The big question now is, will DOGE repeat this performance in 2024?
SEC strikes again! Ripple to pay $2 billion in penalties?
Key points:
The court documents filed in a U.S. court on 25 March were under seal, at press time.
The $2 billion penalty request was the latest in a multi-year legal battle between Ripple and SEC.
News: The U.S. Securities and Exchange Commission is seeking fines and penalties totaling $2 billion in its case against Ripple Labs over sales of XRP. The company's chief legal officer said in a social media post on 25 March that the regulator has asked U.S. District Judge Analisa Torres in Manhattan to levy this hefty fine on Ripple.
The context - Ripple Labs has been embroiled in a long legal battle against the SEC over the status of its XRP token. The regulator filed a lawsuit in 2020 over allegations that XRP was an unregistered security.
The lawsuit also alleged that Chris Larsen, co-founder and former CEO of Ripple Labs, along with Brad Garlinghouse, Ripple’s current CEO, engaged in personal unregistered XRP transactions worth approximately $600 million.
Ripple received a partial victory when Judge Analisa Torres ruled in 2023 that XRP sold on public crypto exchanges did not meet the definition of security. However, the institutional sale of XRP did break securities law, and because of which, the Judge would decide whether or not to rule for injunctions or civil penalties.
The case is closely watched by the crypto world as it can set a precedent for the SEC’s involvement with crypto in the future.
Ethereum velocity drops while U.S. investors look for alternate options
Key points:
Market indicators remained bearish for Ethereum.
A few metrics suggest a drop in overall trading activity.
News - It was found that Ethereum’s velocity was down to 6.57 at press time. Velocity is the rate at which coins are circulating in the crypto economy. Separately, Ethereum’s Coinbase Premium Index was found to be negative. The coin’s value of -0.008 suggested that there’s less trading activity among U.S. investors.
What it means? Ethereum’s brief stint above $4000 and the retreat to around $3600, at press time, has investors speculating about the coin’s future trajectory. To add to the confusion, Ethereum’s velocity has declined along with its Coinbase Premium Index.
The drop in velocity suggests that long-term holders of the cryptocurrency are not distributing. It signals that traders are convinced of ETH’s bullish future that they are unwilling to sell.
Though this was a development in the right direction, the negative Coinbase Premium Index makes things complex. The negative value shows that U.S. traders are hesitating to buy ETH and are opting for other coins. The metrics paint a mixed picture for ETH’s future.
SHIB’s exchange reserve craters to 2-year low: What now?
Key points:
SHIB’s exchange balance now sits at its lowest level since March 2022.
On-chain metrics confirmed the bearish pressure on SHIB.
News - As Shiba Inu continues its sideways movement, investors are waiting for a breakout. To offer some relief, SHIB’s exchange reserve has dropped to a 2-year low.
The exchange reserve metric has plummeted by 7% year-to-date. As of this writing, 147 trillion SHIB were held on exchange addresses.
Traders, take note - Exchange reserve is an on-chain metric that tracks the total supply of a cryptocurrency deposited in exchange-hosted ETH wallets.
Typically, a decrease in exchange supply refers to a drop in the number of coins readily available to be traded on exchanges and trading platforms. A steady decrease in an asset’s exchange reserve often signals a decline in selling pressure, which means holders are confident in SHIB’s bullish future.
However, due to the general market decline witnessed in the past few weeks, there has been a surge in bearish activity in the SHIB market. The memecoin was trading at $0.00002976, at press time, after dropping from the month’s high of $0.00004289.
More stories from the crypto ecosystem
Interesting Facts
Although Bitcoin is the most well-known and widely used cryptocurrency, it was not the first. The honor of being the first digital currency goes to a project called DigiCash, which was launched in 1989 by David Chaum.
Doge is a cryptocurrency that split off from Luckycoin, which was forked from Litecoin. In addition, Litecoin was created from a copy of Bitcoin’s source code, so the series of changing hands brings back Dogecoin’s roots to Bitcoin.
The Ethereum blockchain has 5 testnets i.e Goerli, Sepolia, Ropsten, Rinkeby and Koven. All the testnets are named after metro stations. For example, Goerli is named after a metro station in Berlin, Germany.
Top 3 coins of the day
Bonk (BONK)
Key points:
BONK’s volume increased by over 70% in the last 24 hours.
Its open interest declined to $7.5 million, at press time.
What you should know - In the past seven days, BONK’s price noted a surge of about 30% and was exchanging hands at $0.00002655, during press time. With Bitcoin stabilizing above $70k, the memecoins were experiencing bullish pressure. As BONK bulls find strong support near the $0.00002 region, it looks like the memecoin is preparing for a jump. However, last week’s high of $0.00003684 could act as a resistance. The RSI at 53 showed a revival trend from the halfway line and was rising higher to approach the overbought territory, at press time. In conclusion, it seems BONK is poised for a strong move north in the short term.
Solana (SOL)
Key points:
At press time, SOL was exchanging hands at $195 with a 4% rise over the last 24 hours.
Solana’s open interest recorded a hike over the last day.
What you should know - Solana experienced a resurgence in its bullish momentum with nearly a 4% surge over the last day. The hike in SOL’s price has allowed it to comfortably break the resistance around the $184 region. The market is now waiting for a move to the ATH of $259, which SOL hit in November 2021. As far as indicators are concerned, the Awesome Oscillator has logged red upward-facing bars since 20 March. The indicator measures an asset’s market trends and momentum. The red bars suggested that the bullish momentum is declining.
Pepe (PEPE)
Key points:
PEPE prices have increased by a whopping 500% in the last 30 days.
At press time, the token was trading at $0.000008389.
What you should know - The price of Pepe has shown a remarkable surge over the last month. The memecoin also received a significant boost from whales who were accumulating it following BTC’s move above $70k. Coming to price indicators, the Chaikin Money Flow logged a value of 0.04. The indicator’s primary purpose is to distinguish between periods of accumulation and distribution of an asset. When the indicator is above the zero line, it indicates the coin is experiencing net accumulation. This means investors are buying PEPE at current prices which could lead to a surge in demand and a move higher.
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