Dovu (DOV), which is built on top of Ethereum, is an environmentally friendly project created to solve a serious environmental problem. It is experienced an impressive growth of 233% and the amount of its transactions, according to Messari, went up by 3627.96% (from 19.85 thousand dollars, to 740 thousand dollars).
What is Dovu?
Dovu (DOV), backed by InMotion – the business arm of Jaguar Land Rover – is a platform and token that aims to offset the carbon footprint left by the cryptocurrency market and support carbon capture globally. The platform aims to use a carbon calculator to measure carbon footprints and at the same time helps users compensate for this consumption through their platform.
The launch of the white paper outlining Dovu’s vision and mission became effective in January 2021. The team consists of Irfon Watkins, co-founder and CEO and Krasina Mileva, co-founder and COO.
Dovu growth: the two possible reasons
Judging by the chart on CoinMarketCap, Dovu started to increase in price at the beginning of the year. Most likely, the reason for this rise was the broader rise of the cryptocurrency market, following the prolonged decline that followed the FTX crash.
The rebound began after regulators announced a reduction in US inflation from 7.1% to 6.5%. Thus, amid the positive cryptocurrency market sentiment, DOV rose 153.23% during the month, from $0.001858 to $0.004705.
DOV started February with a 26.51% drop, despite the fact that other tokens were rising on news of the Fed raising interest rates by only 0.25% – from 4.5% to 4.75%.
However, since February 10 a frantic price rally for DOV started, which is still continuing. And there may be some reasons for this.
- The partnership with Hedera, which was discussed in mid-January at the Davos Cryptocurrency Forum. At the event, Hedera bought Dovu carbon credits to offset its carbon footprint. This covered Hedera’s emissions for flights, electricity, material recycling and construction for the forum. Now the partnership is likely to continue.
- According to Web3Charts, DOV has been leading the cryptocurrency market capitalization growth race in recent hours among Ethereum-based blockchains. According to CoinMarketCap, the asset’s market capitalization increased 109.03% in a few hours and had climbed to $8.68 million.
The All-time peak
The current value of DOV is considered to be a good result at this stage, however it is far from the historical high of the token which was reached on December 1, 2018. The growth at that time was likely achieved due to the news of the release of the beta version of the DOVU wallet. At that time, DOV was close to $1. Compared to today’s price, the difference is 10107.83%.
The asset was trading at $0.317 when it entered the market. So, if someone bought it at the beginning, at the time of the peak they would have earned X3 of the amount invested. And if someone bought at the peak Dovu moment and continued to hold the token, then their investment would have been reduced by 102 times.
Increase in holders
According to Etherscan, DOV is now in 6,708 wallets, which is an increase of 14.08%. As a result, the asset’s trading volume increased by 3627.96%, from $19.85 thousand to $740 thousand. In just one day, market participants transferred 152,035,189 DOV, which at the current exchange rate is equal to ~$1.38 million.
Can it get to $1?
According to historical data, DOV had been close to $1 in the past. Now the asset needs to increase 110 times to reach that level. This could happen mainly if the token is listed on a major exchange.
Also, the price could be affected by partnerships with some large companies such as Hedera. However, judging by the information on Twitter, this is not expected immediately. Still, the general market sentiment could cause the price of DOV to rise, but the effect could be the opposite.
The possibility of coin “burning”, which aims to increase the value of the asset in case demand increases, seems an unlikely scenario for the near future. No cap has yet been set on how many DOV coins will be created, and all that have been created are already in circulation. There are a total of $956 million worth of coins on the market right now, which is not a lot. By comparison, Shiba Inu has 550T coins in circulation.
Is it an altcoin gem?
According to precious altcoin hunter, NiFTy, DOV is “a certified small-cap gem that is primed to explode” and highlights the following advantages of the project that are likely to help it go to the… moon:
- A $7 million market capitalization
- 7 million million dollars, with 100% of tokens in circulation.
- A large market of $200 billion
- With the support of Hedera
- Supported by Jaguar Land Rover
- 9000+ customer “pipeline”
- Solving a big problem
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