Dogecoin Market Update

Dogecoin is fading fast, having lost more than one-third of its value in the last 30 days, shedding all gains after President Trump’s win in November.

Amid an especially turbulent crypto market, DOGE is getting battered. The original and biggest meme coin is currently trading at $0.166, down from a recent high of $0.48 following the November 5 victory of crypto-friendly President Donald Trump.

Dogecoin dipped as low as $0.145 on Monday, its lowest price since last October. Although it has seen a 6% recovery today, the longer-term outlook remains grim as its current price is lower than it was one year ago.

In derivative markets, open interest for Dogecoin has also plummeted to $1.37 billion, per CoinGlass. Total bets on its future price hit $5.28 billion in January amidst a crypto euphoria, but now the U.S. value of open interest is just below Election Day levels.

This drop in derivative interest coincides with President Trump rattling markets with announcements regarding trade tariffs, sparking a trade war with neighboring countries. Traders are reconsidering risk assets like U.S. equities, especially after his interview suggesting a potential recession.

While the S&P 500 and Nasdaq are suffering, crypto has been hit harder. The meme coin market has crashed recently. Bitcoin has also fallen from above $108,000 to a recent low under $77,000.

Interestingly, Dogecoin, which runs on its own blockchain, showed some resilience leading up to Election Day after billionaire entrepreneur Elon Musk expressed interest. His comments at Trump rallies helped pump the price, which reached a three-year high after the election.

Musk’s ties to the cryptocurrency have been mixed; despite running a government initiative named after Dogecoin’s ticker (Department of Government Efficiency or DOGE), the political connections appear to divide supporters.

There have been applications for prospective Dogecoin exchange-traded funds in the U.S. amidst a surge in such applications following Bitcoin and Ethereum ETF approvals last year. However, on Tuesday, the SEC postponed its decision regarding Grayscale’s Dogecoin ETF application until May 21.

Edited by Andrew Hayward