Dogecoin Faces New Challenges Amid Qubic’s Intentions

Dogecoin is experiencing some losses, particularly as the Qubic community, which recently targeted Monero, has now decided to set its sights on the Dogecoin network, favoring it over Zcash and Kaspa.

Currently, Dogecoin is trading at just over 22 cents. This represents a 4% drop over the past 24 hours, as reported by Coindesk. Last week, Dogecoin had generated some bullish momentum but that excitement seems to have fizzled out.

Earlier on Monday, Qubic, a project focused on AI-driven blockchain technology, announced its community’s plans to target Dogecoin, stating, “There’s an ongoing discussion about $doge, and preparation takes time.” Additionally, questions regarding the resilience of blockchain technology were raised, implying there might be solutions in the works.

Sergey Ivancheglo, the founder of Qubic, sought community votes on which specific application-specific integration circuits (ASIC) should face a 51% attack. Dogecoin received the highest support, surpassing options like Kaspa and Zcash.

“The Qubic community has chosen Dogecoin,” Ivancheglo noted in a message.

Recently, Qubic managed to launch a successful attack on Monero, taking control over a significant portion of the computing power that underpins privacy-focused networks.

Doge Shows Decline in Trading Volume

Doge’s Futures Open-Interest-Adjusted Cumulative Volume Delta (CVD) has decreased by nearly 1% in the last 24 hours, making it the largest drop among the top 25 cryptocurrencies by market value, according to VELO data.

CVD measures the balance of buying versus selling pressure over a defined period, showing the total difference between buying and selling activity. Negative CVD suggests that more participants are selling than buying, which is generally seen as a bearish indicator; this implies that prices might continue to drop.

Interestingly, while Dogecoin shares this bearish trend with many other cryptocurrencies, such as Bitcoin and Ethereum, Link stands out with a positive CVD.

Bitcoin Struggles Below $116K

Bitcoin also saw a decline, trading at nearly $115,000 early Monday—down significantly from over $124,000 last Thursday, which was a record high.

This downturn is raising questions about potential interest rate adjustments by the Federal Reserve, particularly in light of anticipated US producer price inflation data coming out on Friday. While a 50-basis-point cut is expected, opinions vary, and a smaller cut of 25 basis points might be more likely.