Can DOGS Bounce Back? What to Expect from the Huge Token Release

Key Takeaways

• DOGS, a community-driven cryptocurrency on the TON Blockchain, faces a critical Token Generation Event on August 26th, unlocking 502.48 billion tokens, which could impact its market stability.
• The upcoming unlock, involving 91.4% of the total token supply, might cause significant market dilution, potentially leading to a substantial price correction.
• Despite recent gains and strong community engagement, DOGS must navigate potential volatility post-unlock, with possibilities of both significant decline and recovery based on market dynamics.

DOGS, a community-driven cryptocurrency developed on the TON Blockchain, is leveraging Telegram's extensive user base and meme culture to gain traction. Recently, the token has attracted significant investor interest due to its dynamic movements amidst August’s market volatility. However, with a massive token unlock on the horizon, the DOGS asset faces potential risks of a significant price correction.

DOGS Price Faces Major Support Challenge Amid 502.48 Billion Token Release

DOGS, known for its dog mascot meme coin, was initially created by Telegram’s founder to introduce blockchain technology to a wider audience through engaging and entertaining means, including tokenized stickers. The project has recently gained momentum, with notable events such as its listing on Gate.io and its inclusion in Binance’s 57th launch pool.

On August 26th, investors in DOGS will encounter a crucial Token Generation Event (TGE). During this event, 502.48 billion DOGS tokens—representing 91.4% of the total supply—will be unlocked. The majority of these tokens, amounting to 400.02 billion DOGS (72.7%), are allocated for community airdrops, underscoring the project’s commitment to community engagement and potentially enhancing user participation and token circulation.

Additional token distributions include:

• Marketing: 50.49 billion DOGS (9.18%)
• Liquidity: 29.89 billion DOGS (5.45%)
• Team: 29.48 billion DOGS (5.36%)
• Binance Launchpool: 22 billion DOGS (4%)
• Advisory: 17.9 billion DOGS (3.27%)

Such a substantial token unlock could potentially overwhelm the market with an excess supply, leading to a significant decline in the token’s value. While the community airdrop may cause notable market dilution, the linear vesting schedules for the team and advisory allocations suggest a gradual increase in the circulating supply over time.

Can DOGS Token Recover Post-Unlock?

Following the mid-August market sell-off, DOGS found robust support at the $0.001 level, which helped the asset rebound by over 200% and approach resistance at $0.0031. As is common with meme coins, which are often driven by speculative trading, these volatile price movements are characteristic of the asset class.

At present, DOGS is trading at $0.0021. Should the forthcoming token unlock lead to increased selling pressure, the token might experience a 50% drop, potentially retesting the support level at $0.0008. Conversely, if the $0.001 support level holds, a successful recovery could propel the price to $0.0052.

Investors should stay alert to market dynamics and consider both potential risks and opportunities as DOGS navigates this significant token unlock event.

How to participate in TON Power Piggy and earn 18% APR?

• Register as a Bitrue member and complete KYC certification
• Click on the top navigation "Earn -> Power Piggy", select TON, and follow the instructions on the page to participate

Click here for a detailed step-by-step guide.

FAQs

• What is the significance of the DOGS Token Generation Event on August 26th? The event will unlock 502.48 billion DOGS tokens, accounting for 91.4% of the total supply, which could lead to increased market supply and potential price fluctuations.
• How might the DOGS token unlock affect its price? The large-scale token release may cause market dilution and a possible price drop, with the potential for a 50% decline if selling pressure increases.
• What should investors watch for regarding DOGS' future performance? Investors should monitor market dynamics closely, especially after the token unlock, as the asset might experience volatility with chances for both significant drops and potential recoveries.