September 20, 2021, | AtoZ Markets–Dogecoin has been experiencing a sharp decline in recent weeks. The price of DOGE has lost almost 30% of its value since August 23 of this year, as has its capitalization.
According to Coinmarketcap, DOGE has dropped more than 11% in the last 24 hours in its price. Dogecoin is now the 10th most valuable digital currency in the world with a market capitalization of close to $ 28 billion.
Likewise, Dogecoin fell below the market value of Solana (SOL), Polkadot (DOT), and the stable coin USDC.
The 10th largest cryptocurrency in the world is currently trading at close to $ 0.21. DOGE now accounts for about 1.5% of the total crypto market capitalization.
Dogecoin hit an all-time high of $ 0.73 in May 2021 and despite the correction that has been occurring, the DOGE has risen more than 5,000% in 2021.
That same month, Dogecoin became more valuable than XRP after it surged more than 50% in 24 hours on May 4. The cryptocurrency also crossed the $ 90 billion market cap during the same week. Since then, DOGE has been in constant decline.
Cryptocurrencies Affected by the Dollar and the Fed’s Decision This Week
This week the Fed will decide whether to make changes to its current monetary policy.
Bitcoin’s (BTC) focus shifted to the Federal Open Market Committee’s (FOMC) policy meeting in the wake of lower inflation numbers last Tuesday.
The dollar starts the week under pressure, due to investors’ expectations about the changes that the Fed may announce at its next meeting. It is no secret that the leading U.S. economy is suffering from the impact of inflation, which is worrying analysts about U.S. growth.
Bitcoin has managed to break through the $43,936 area where the 200-day exponential moving average was located. Currently, the next supports to consider are located at $41,085 and $38,266.
However, if the price manages to hold above $44,000, we could see it return to levels of $47,274. What the Fed decides, and the optimistic tone or not will be the key for bitcoin to return to a high of $52,800 in the next few days.
U.S. Inflation Is the Key
The data showed that the U.S. CPI rose 5.3% year-over-year in August, up from 5.4% in the previous month. The market had mixed reactions to these figures, with some rejoicing that core inflation was below expectations, while others noted that inflation was still at ridiculously high levels, with 5.3% being one of the highest figures in over a decade for the CPI.
This week there will be big movements in the world’s financial markets. Don’t miss all our articles. At AtoZ Markets.com you will always find the best financial information.