Dogecoin (DOGE) is losing its status as a high-risk asset as crypto investors prefer to keep their capital in Bitcoin and Ethereum.
MAIN CONTENT
Bitcoin (BTC) and Ethereum (ETH) maintain outstanding returns, demonstrating investor confidence.
Dogecoin (DOGE) recorded the largest realized loss among the top 10 crypto assets.
Investment trends shift away from memecoin, showing structural divergence in the cryptocurrency market.
Bitcoin Sees Mainstream Gains Instead of Panic
Data from Glassnode shows that Bitcoin only slightly decreased by 1.09% in the second quarter of 2024 but had a realized profit of up to $ 1.3 billion, much higher than the $ 33 million loss. This proves that investors still prioritize taking profits rather than withdrawing from the market due to fear.
The outstanding actual profit shows that the market sentiment is still positive and there is no clear distribution phase yet.
Glassnode, Q2/2024 report
This data proves that investors are not rushing to dump Bitcoin even though the price has left ATH, reflecting confidence in the long-term potential of the asset.
Ethereum Under Mild Pressure But Still Remains Stable
Ethereum suffered a realized loss of about $18.4 million, or 52% of its $35.2 million profit. Despite the increased pressure, ETH maintained its position among the largest capitalization groups, reflecting its stability amid the volatility.
In contrast, Dogecoin showed severe weakness with losses of up to $132 million, far exceeding the gains of only $5 million. This shows that capital is flowing out of DOGE to stronger assets.
Dogecoin Loses Its Edge in a Risk-On Market
The market landscape is tilted towards a positive risk-on trend, but the entire memecoin group, including DOGE, has been hit hard. Over the past 30 days, memecoin’s market cap has fallen by more than $6.53 billion, or 11.52%, to $52.28 billion.
Meanwhile, Bitcoin grew 2.5% to $2.11 trillion in capitalization, confirming that cash flows prioritize assets with high safety and liquidity.
Investment flows are shifting strongly from memecoins to mainstream assets like Bitcoin and Ethereum.
Bitcoin News, July 2024 analysis
This difference illustrates a clear structural divergence in the cryptocurrency market as capital flows favor stability over high speculation.
Changing Market Cycles Shift Dogecoin's Position
In mid-2024, memecoin experienced a strong boom when its capitalization increased from 15 billion USD to more than 90 billion USD, in which DOGE increased in price by 210%, reaching nearly 70 billion USD in value, outperforming Bitcoin which increased by 55% at the same time.
The DOGE/BTC ratio increased by 107% in early December 2024, affirming DOGE's position as an effective speculative channel.
However, since Bitcoin hit a new high in late May 2025, the DOGE/BTC ratio has dropped by more than 30%, indicating a retreat in DOGE as a high-risk asset.
Investors increasingly prioritize accumulating in mainstream coins instead of memecoins, causing DOGE to lose its role as a volatile investment tool during bull markets.
Frequently Asked Questions
Why are Bitcoin and Ethereum still attractive while Dogecoin is losing value? Bitcoin and Ethereum are safe, have high liquidity and a growing network, attracting more stable investment capital compared to Dogecoin's high speculation. How does the sharp decline of Memecoin affect the cryptocurrency market? The decline in the value of Memecoin shows that investors are cautious and that money is preferring to keep it in assets with a more solid foundation. How is money moving in the current cryptocurrency market? Money is focusing on major coins like Bitcoin and Ethereum, while speculative tokens like Memecoin are being withdrawn. What does this change signal for the future of Dogecoin? Dogecoin may gradually lose its role as a volatility-responsive asset, investors should be cautious when considering holding or buying. Which reports support the analysis of the divergence between Bitcoin and Memecoin? Many reports from Glassnode and TinTucBitcoin in 2024-2025 clearly show the capital flow trends and actual returns of each asset group.
Source: https://tintucbitcoin.com/dogecoin-giam-manh-nha-dau-tu-rut-von/
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