Dogecoin’s 35% ROI vs. Ethereum’s 6% – What it means for you

Key Takeaways

DOGE leads the high-risk, high-reward trade with 35% ROI, Open Interest at ATH, and a clean setup for a $0.30 breakout.

Dogecoin [DOGE] is finally flexing its meme strength against high-cap alts. Backing this shift is the DOGE/ETH ratio. It has risen 25% month-to-date off the 0.000049 support zone.

In fact, this marked the first retest of the 0.000060 resistance level since the Q1 breakdown.

So, what was the outcome? Well, DOGE has delivered a staggering 35% monthly ROI, compared with Ethereum’s [ETH] 6.18%.

That’s about 5× the gains, marking a level of outperformance not seen since the election rotation.

Echoes of election cycle

Source: TradingView (DOGE/ETH)

In fact, the DOGE/ETH ratio was bouncing off a similar support. 

Back during the election cycle, Dogecoin closed November with a 160.83% surge to a three-year high of $0.48, while Ethereum remained restrained at 48%, just as the DOGE/ETH ratio ripped 78% off 0.000047 support.

Why does this matter?

Because at press time, technicals were lining up, suggesting DOGE’s surge isn’t a fluke. Instead, capital had been rotating back into memecoins, with Dogecoin leading the pack and keeping altcoins sidelined.

Speculative flows enter a critical test zone

The memecoin market has been at a key inflection point. 

September’s upside has been carried by speculative flows, with nearly $20 billion pouring in and pushing total market cap to a two-month high of $83.12 billion.

But the real test kicks in now.

In the July run, the market capped at $85 billion, right in line with DOGE’s $0.28 resistance. That peak came as over $30 billion rotated into meme assets and DOGE’s RSI pushed deep into overbought territory.

Source: CoinMarketCap

In short, the memecoin market overheated. And, capital unwounded almost as fast as it rotated in.

Roughly $20 billion bled out in under two weeks. The result? DOGE saw a nearly 35% dump as realized profits topped $600 million. 

The big question: Are we staring at a repeat setup?

High-risk appetite points strongly to DOGE’s edge

Dogecoin’s outperformance vs. the majors was on full display. 

With a 35% ROI, DOGE has pushed to $0.29, setting up its first real shot at reclaiming the $0.30 resistance since Q1. Hence, momentum is heating up.

Realized Profits spiked to $728 million at $0.28, the largest profit-taking wave since the election cycle. This showed HODLers cashed in as DOGE ground into resistance.

Source: Glassnode

Still, a few divergences stood out from past cycles. 

Unlike the July run, DOGE’s RSI hasn’t broken past the 85 band, staying clear of the overheated “green zone.”

Translation: Momentum isn’t maxed out yet, leaving room for extension before overbought signals kick in.

Plus, with Open Interest (OI) printing a new ATH and the DOGE/ETH divergence confirming relative strength, the structure points to bullish continuation.

Consequently, a clean break above $0.30 looks highly likely.