Dogecoin is experiencing a unique buzz in the ecosystem, revolving around the increasing speculation about obtaining approval for a DOGE spot ETF product tracking the coin in the near future.
Dogecoin is Showing Mixed Signals
While the largest focus in the digital currency ecosystem remained on Ethereum following the sanctioned spot ETH ETF, Dogecoin has received its fair share of attention. The passing of Kabosu, the dog that inspired the Dogecoin creation and the broader memecoin, sparked numerous tributes to the coin.
Even Tesla CEO and X owner Elon Musk shared a tribute post that helped incite a slight bullish run in the price of the coin. At the moment, DOGE is still maintaining some of its accumulated gains, rising 3.87% to $0.1706. While this instills confidence in a market experiencing mild consolidation, the 24-hour trading volume tells a different tale. He wrote: “OG Doge has ascended to heaven to be with his friend Harambe,” Musk wrote on X. The inclusion of the gorilla points to yet another piece of internet history.
Bullish Open Interest Despite Lower Volume
Amidst the price surge, the trading volume has decreased by 54.31% to $1,428,386,003. This statistic is difficult to elucidate as price growth and volume are anticipated to exhibit some forms of correlation. At the present level, there’s a limited interest in the retail DOGE market and if sustained, might pull the price down this extended US Memorial Day season.
However, the Dogecoin Open Interest (OI) metrics paint another distinct bullish narrative. According to data from Coinalyze, Dogecoin open interest in the past 24 hours has surged by 6.86% to $895.7 million. While the retail sector might be filled with bearish interests, DOGE derivatives traders are excited about the market as indicated by the data.
Will SEC Approve DOGE ETF?
When spot Bitcoin ETF products launched in January, there was a general pessimistic anticipation that no other cryptocurrency will secure related approval. However, the speculations changed earlier this week when the SEC approved 8 spot Ethereum ETF products.
With this new product, many market advocates are now hopeful that memecoins like Dogecoin also have a fair chance to secure related approval in the future. Many of these memecoins like Dogecoin began as a joke, however, many of these tokens are making very significant pivots to offer utility.
From Shiba Inu’s endeavor to launch Shibarium to Floki’s introduction of TokenFi, the landscape is evolving. With this, expectations remain that mainstream adoption through ETFs may be attained later.
