From the superficial view of the performance of Dogecoin (DOGE), one may be swift to highlight the slower growth of the premier meme coin when compared to other top digital currencies like Bitcoin (BTC) and Ethereum (ETH).
In reality, Dogecoin's growth is slow as, at the time of writing, it has dropped by 0.67% to $0.07408 over the past 24 hours at a time when Bitcoin has added 3.35% within the same time frame.
For a digital currency that is certified to have very high volatility, the latest bullish rally in the ecosystem has not moved it so much as it has only topped 7.52% in the week-to-date (WTD) period against Bitcoin's 27.70%.
Despite this outlook, there is a chance that Dogecoin can witness an unannounced parabolic price run in the near- to midterm. This projection is justified by the viewed data from crypto analytics provider IntoTheBlock, which shows that there is a growing whale concentration for Dogecoin.
According to the data, whales currently hold 45.53% of the total DOGE supply worth more than 63 billion units. This compares with 35.31% attributed to retail holders. Should there be a further uptick in these whale accumulations, we can see a typical massive upsurge in DOGE's price in the near term.
Diversifying growth triggers
While on-chain statistics show that there is a likelihood of an impending Dogecoin push by whale holders, there is a cogent need for the protocol to diversify its inherent growth triggers.
In reality, Dogecoin has been sitting on the sidelines of active ecosystem development compared to its rival Shiba Inu, which launched Layer 2 protocol Shibarium. Besides this, we are seeing more legacy Layer 1 protocols launching EVM compatibility, with Filecoin (FIL) leading the charge in this regard.
Without a diversified growth trigger, the dream of Dogecoin to touch $1 might be well into the distant future.