In a surprising twist for the cryptocurrency market, Dogecoin (DOGE), the meme-inspired digital currency, has seen its number of millionaire addresses swell over the past year. Despite its inflationary nature, which introduces a steady stream of new coins into circulation, Dogecoin has managed to add to its ranks of wealthy holders.
As of December 20, 2023, there are 718 DOGE addresses with balances exceeding $1 million, a slight increase from the 716 recorded last year. This growth is particularly noteworthy given the inflationary pressures that could dilute the value held in existing wallets, making it more challenging for holders to maintain millionaire status.
The recent surge in Dogecoin’s value, which has climbed by almost 22% Year-to-Date (YTD) in 2023, has played a significant role in this development. The increase has been bolstered by a notable jump in the previous month, which saw nearly 100 new millionaires emerge.
Wealth Concentration in Dogecoin
Moreover, the data reveals that there are now 107 addresses with a balance of over $10 million, up from 79 the previous year. This indicates a growing concentration of wealth among the top Dogecoin holders.
However, it’s important to consider that an individual may control multiple addresses, which could introduce inaccuracies to the count of millionaire addresses. This factor, combined with the inflationary issuance of Dogecoin, presents a complex picture of wealth distribution within the DOGE community.
Dogecoin’s price currently stands at $0.09, a 1.82% increase in the last 24 hours, and a 0.23% increase in the last seven days. Despite this, the cryptocurrency trades above the 200-day simple moving average, suggesting a positive trend. Yet, it remains 88% below its all-time high, reflecting the volatile nature of the crypto market.
Investors and enthusiasts continue to watch Dogecoin closely, as its performance and the behavior of its holders offer insights into the broader dynamics of the cryptocurrency landscape. As always, caution is advised, as investing in cryptocurrencies carries inherent risks.
