DOGE MVRV Hints Undervaluation as SHIB & PEPE Stay Bearish

• Dogecoin’s short-term undervaluation is signaled by its 30-day MVRV at 1.682%.
• Shiba Inu’s short-term holders face heavy losses, with a 30-day MVRV of -1.045%.
• Pepe struggles with bearish sentiment and declining investor interest despite stability.

Memecoins have generally been characterized by large fluctuations, often due to the crowd hype and shifting crowd sentimental per Santiment. In the past few months, the market performance of certain tokens, particularly DOGE, SHIB, and PEPE, has been volatile and unprecedented. 

🐶 Memecoins have been on their usual up and down rollercoasters, with speculation and crowd sentiment playing a major factor. Our latest insight breaks down top on-chain & social indicators for DOGE, SHIB, and PEPE to break down what's next: https://t.co/lgmamoZfVy pic.twitter.com/13snBawjYC

— Santiment (@santimentfeed) September 11, 2024

Investors have cautiously viewed these assets because of their high number of followers. Some of the indicators that can be used to look for possible future variations include the Market Value to Realized Value (MVRV) ratios and social metrics.

Dogecoin, a leading memecoin, has seen its price fluctuate significantly. As of press time, it is priced at $0.1002 and has experienced a 2.80% decline in the last 24 hours. Other valuable traces worth tracking include the MVRV Ratio, which can be employed in analyzing the given asset as over or undervalued. 

The 30-day MVRV is currently sitting at 1.682%, which can suggest that DOGE might be underpriced in the short term. On the other hand, the 365-day MVRV remains close to the neutrality of -20.79%regarding which the sentiment is considered more middle ground in the long run. High MVRV ratios in the past have been associated with peak prices leading to sell offs as showed by the end of 2023 and early 2024.

Likewise, Shiba Inu has also been experiencing fluctuations in its price, valued at $0.000013, down 1.18% in the last 24 hours. SHIB price stabilized after a major price drop in June 2024.

The 30-day MVRV ratio is still very much bearish with a level of -1.045% thus implying that shareholders with short-term holding period are suffering tremendous unrealized losses. Nonetheless, the 365-day MVRV stands at -31.67% a sign that long-term holders are almost breakeven. These two factors are highly differentiated to explain the struggles of short-term investors against those of long-term investors.

Another memecoin that has its own struggles is Pepe (PEPE). Its price declined smoothly from July to August 2024, then stabilized. PEPE was priced at $0.0000072 at the time of publication, down 1.95% in 24 hours, and seems to have lost investors’ interest. 

The token’s social dominance, which reflects its activity in the context of cryptocurrencies, has experienced flares. But, the overall sentiment score is negative as it stands at -0.589, indicating overall bearish view regardless of price consolidation. This negative sentiment coupled with lesser social activation suggests that PEPE continues to struggle for positive movement.