The value of dogcoin has dropped by about 10% since China said crypto transactions and services are illegal in the country.
Since China has declared crypto transactions illegal, dogcoin has dropped by about 10%.
According to a Bloomberg report, China’s central bank has issued a statement stating that all crypto transactions and services are illegal in the country.
The central bank, The People’s Bank of China (PBOC), has announced that the ban includes derivatives trading and exchange services provided by offshore companies.
Following the news, most cryptocurrencies have seen sharp declines in their prices as investors panicked. The price of Dogecoin has dropped by about 10%.
Here is a chart showing the recent trend in coin prices:
DOGE's price crashes down in response to China's crypto ban | Source: DOGEUSD on TradingView
As you can see in the graph above, the price of Dogecoin was around $ 0.222 before the announcement, but it quickly dropped below $ 0.196.
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Since then, DOGE has recovered somewhat as its price is now around $ 0.202. However, at the moment it is not clear whether it was for a crash or whether the price will go down further.
Bad months for dogs such coins lose more than 36% of their value
It was a very bad month for Dougcoin because Crypto has seen a lot of moves during this period which has resulted in the price exceeding 36%.
The following chart shows how the price of DOGE has changed during this period:
Dogecoin keeps on falling off before a significant recovery can be made | Source: DOGEUSD on TradingView
During this period, DOGE has also lost significant trading volume as the currency has fallen to No. 10 cryptocurrency in terms of market cap.
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Here is a table showing the top ten coins in terms of market capitalization:
DOGE is now last in the top 10 crypto list | Source: coinmarketcap
As you can see in the table, Dogecoin’s market cap has dropped to just $ 26 billion. Although the figure is 11 11 billion clear from the 11th largest cryptocurrency, DOGE’s place in the top 10 list could still be in jeopardy if the currency continues to depreciate in this way.
The recent state of the memecoin has led some to believe that it could lose steam as the number of its daily transactions has also dropped to levels not seen since 2017.
Someone else believes that Dogcoin’s meme status means it will explode in popularity again and eventually return.
Featured image from Unsplash.com, charts from TradingView.com