BIT Blog

Dogecoin Set to Close 2022 on a Bearish Note, but Not Without a Fight

Dogecoin Set to Close 2022 on a Bearish Note, but Not Without a Fight

With just a week until the New Year, Dogecoin (DOGE) and the rest of the crypto market seem bound to close the year in a depressed state, a state void of meaningful trading volume, sentiment, or prospects. So far, the overarching tone in the market has been bearish, making the situation even more distasteful.

Despite this grim end to the year, the meme coin sure had a far more notable year than other “serious” crypto assets. From breaking several key resistance levels to recording numerous triple-digit rallies, DOGE made a mark in 2022.

Dogecoin's value increased by about 140% within a short period in October as a result of Elon Musk's Twitter saga. Investors' expectations that Musk would promote Dogecoin as the default cryptocurrency of the social media network caused the price of the assets to increase. The only basis for the assumption was Musk's ongoing support for DOGE throughout the years.

Even more recently, DOGE experienced a short-term rally, delivering a decent profit to investors, which is more than one could say about the majority of other blue-chip crypto assets like Bitcoin (BTC) or Ethereum (ETH).

Musk Keeps Influencing DOGE’s Price

Speaking of Musk, the Dogecoin community was excited over the Tesla CEO's promise of a Twitter Spaces conversation around Christmas, which caused the price of the cryptocurrency to unexpectedly increase by more than 5%. At the time of writing, DOGE is trading at $0.075, down 4.5% over the past day, according to data from CoinMarketCap.

However, on a year-to-date basis, the meme coin is down 49%, compared to the 64% and 68% YTD drawdowns suffered by Bitcoin and Ethereum, respectively.

DOGE/USD YTD Chart: CoinMarketCap

In response to a prominent member of the community, Musk tweeted, “Things are rather intense right now, but maybe closer to Christmas.”

Dogecoin's price briefly increased at the beginning of December when the Tesla CEO reiterated his support during a discussion on Twitter Spaces. When asked about the satirical coin, Musk replied, "Dogecoin to the moon," which briefly increased the price of DOGE.

Santa Failed to Save the Day This Year

Price-wise, Dogecoin has failed to impress. In unsurprising 2022 fashion, the hopeful anticipation for a “Santa rally” failed to be conceived as the crypto market maintained a pool of red on Christmas Day.

DOGE/USD Daily Chart on TradingView

At press time, the total crypto market valuation had dropped by 0.83%, with a total 24-hour trading volume of $19.96 billion. Of this figure, $18.20 billion is attributed to stablecoins (91.2% of total volume), further highlighting the bearish sentiment in the market.

Traders now look forward to what the new year holds in store for Dogecoin as expectations for 2022 fizzle out.

DOGE Statistics Data

DOGE Current Price: $0.075

DOGE Market Cap: $9.97B

DOGE Circulating Supply: 132.6B

DOGE Total Supply: 132.6B

DOGE Market Ranking: #8

Feeling confident? Trade your idea on DOGE now

Disclaimer

This article should not be taken as financial advice. It is essential to conduct research before making any investment decisions.

Join BIT's Premium channel for more insights into crypto.


Sign Up Now