Dogecoin dead? Network activity drops 95 percent

Activity on Dogecoin, a popular memecoin, has declined significantly. According to onchain analyst Ali, who shared his findings on social media platform X, the number of active addresses has dropped 95 percent since November 2024.

In November, there were still 2.6 million active addresses, while that number is now down to just 130,000. According to data from the Dogecoin Explorer, only 80,000 addresses are even active. The coin also has a relatively low transaction speed of 1.36 transactions per second, making it one of the slowest cryptocurrencies.

Despite the decline in activity, Dogecoin's value remains strong. The coin is currently trading around 20 cents, with a market capitalization of $30 billion, making it the eighth most valuable cryptocurrency. In the past 24 months, the coin saw a 130 percent increase in value.

Launched in 2013 as a joke, Dogecoin is known as the world's first memecoin. Like Bitcoin, it is based on the proof-of-work protocol. Recently, there has even been talk of a possible Dogecoin spot ETF, indicating increasing acceptance and legitimacy.

One of Dogecoin's most prominent proponents is Elon Musk, who calls himself the "Dogefather." He has expressed his support for the currency several times, including suggesting that Tesla cars could be paid for with Dogecoin in the future. He has even named a U.S. government department he runs after the coin: the Department of Government Efficiency, abbreviated as DOGE.