Dogecoin (DOGE), the world’s largest meme coin has recently seen a sharp decline in its holder base, with new data confirming that the number of active long-term holders has fallen to a six-month low. Amidst this bearish development, a crypto analyst remains optimistic about Dogecoin’s price outlook, believing that it can reach new All-Time Highs (ATH) of $10 soon.

The Rapid Decline in Dogecoin Holder Base

Santiment, a Market Intelligence platform has unveiled a rather bearish trend involving Dogecoin investors and holders. The platform revealed in an X (formerly Twitter) post on October 15 that the number of active Dogecoin holders is falling at a significantly rapid pace.

Concerns Over Dogecoin Holder Numbers

Based on its reports, there has been a net loss of approximately 106,600 non-empty wallets since Tuesday, October 8. A non-empty wallet here refers to a crypto wallet that contains at least some DOGE tokens. Sharing a chart illustrating the decline in the Dogecoin holder base, Santiment revealed that the total number of Dogecoin holders is estimated currently at 6.62 million. This figure marks the lowest the DOGE holder base has ever been since April 25, 2024.

The net drop of 160,600 indicates that more people are either selling off or withdrawing the DOGE tokens from their wallets than those buying the meme coin. In light of this, Santiment has noted a shift in investors’ sentiment and interest in Dogecoin.

Stagnant Performance and Investor Concerns

The market intelligence platform has disclosed that many traders who had invested in Dogecoin are expressing frustration about the meme coin’s poor market performance. As a result, traders, especially those looking for short-term gains, are moving away from Dogecoin in search of a cryptocurrency that might offer rapid price increases.

As of writing, Dogecoin is trading at $0.12, experiencing slight upticks over the weeks, according to CoinMarketCap. It appears the meme coin’s 10% surge and 17% increase in the past week and month respectively, has not been enough for many investors.

Analyst’s Bold Prediction for Dogecoin’s Future

Amidst the decline in the Dogecoin holder base, a crypto analyst remains highly bullish on the meme coin price outlook. Dima James Potts, an analyst on X has doubled down on his earlier prediction that Dogecoin is headed to $10.

Now the analyst is reinforcing his earlier prediction, emphasizing that history cannot be changed, while asserting that a $10 price surge for Dogecoin was seemingly inevitable.

Featured image created with Dall.E, chart from Tradingview.com

Conclusion

Despite the decline in Dogecoin holders and concerns over its performance, the cryptocurrency market remains volatile. While some investors are moving away from Dogecoin, others continue to believe in its potential for growth. As analysts predict a possible surge to $10 for DOGE, it will be interesting to see how the market unfolds in the coming months. Stay informed and make strategic decisions based on market trends and analysis.