Over $600M Locked in Open Dogecoin Futures as DOGE Price Hits Highest Since April
Bitcoin's recent rapid rally has revived risk-taking in the crypto market, spurring investors to pour money into non-serious cryptocurrencies like dogecoin (DOGE), which was created as a joke 10 years ago. DOGE, the world's leading meme cryptocurrency, has gained over 10% in the past 24 hours to trade above $0.10 for the first time since April, according to data tracked by TradingView. The prices has gained 27% in seven days, seemingly tracking bitcoin's surge to $44,000 from $38,000.
The notional open interest – or the dollar value locked in the number of active futures and perpetual futures contracts – tied to DOGE has risen by 58% to $625 million in one week, reaching the highest since Nov. 2, 2022, according to data source CoinGlass. That increase, alongside a rising price, is said to confirm the uptrend. Funding rates on several exchanges have surged to an annualized 50% or more, indicating a steep premium in perpetual futures relative to spot prices, Velo Data data show. Positive rates indicate investor preference for long, or bullish, bets and reflect collective optimism that prices will likely increase. In other words, they behave as leveraged plays on the largest cryptocurrency.
