DOJE ETF Debuts: Strong Trading Volume but Dogecoin Price Falters on Lack of New Users

The highly anticipated debut of the first U.S. exchange-traded fund (ETF) tracking Dogecoin (DOGE) failed to deliver the immediate price surge traders had hoped for. Instead, Dogecoin slipped, underscoring the limits of hype-driven catalysts when new adoption is weak.

On Thursday, REX Shares and Osprey Funds launched the REX-Osprey DOGE ETF on the Cboe BZX Exchange. The product gives investors direct exposure to Dogecoin’s spot price through shares, allowing traditional market participants to engage with the memecoin without managing crypto wallets or private keys.

The ETF opened at $26.51 per share but closed the session slightly lower at $26.37, down 0.53%. Despite the dip, trading was remarkably active: DOJE recorded nearly $6 million in volume in its first hour.

Bloomberg ETF analyst Eric Balchunas highlighted the figure as far above the sub-$1 million norm for most ETF launches, calling DOJE’s debut “shockingly solid.”

A Milestone Without Momentum

The launch represents a milestone for Dogecoin, marking the first dedicated DOGE ETF listed in the U.S. and expanding access for traditional investors.

But while activity around the ETF was robust, DOGE’s market price told a different story. Over the past 24 hours, Dogecoin fell more than 2%, disappointing those expecting a rally on the back of institutional exposure.

Why the disconnect? Analysts point to the lack of fresh capital flowing into Dogecoin. Data from CoinGlass showed derivatives open interest—a metric of new speculative activity—rose just 0.22%. In other words, most of the trading volume appears to have come from existing Dogecoin holders shifting positions rather than a wave of new entrants.

This imbalance suggests that while ETF demand was real, it wasn’t enough to offset sell pressure in the broader DOGE market. Heavy trading volume can signal enthusiasm, but without a surge of new buyers, the price tends to stagnate—or, in this case, decline slightly.

Dogecoin Stays in the Spotlight

Despite muted price action, Dogecoin was far from ignored. Market intelligence firm Santiment reported that DOGE became one of the most discussed cryptocurrencies online after the ETF listing, reflecting its growing reputation as more than just a memecoin.

Some investors remain optimistic. Analyst Ali Martinez revealed that whales accumulated over 158 million DOGE in the run-up to the ETF debut, suggesting that large holders see long-term value even if short-term performance is lackluster.

Martinez also outlined key price levels for DOGE. Resistance remains heavy between $0.29 and $0.30, a zone the coin has repeatedly failed to break. A decisive close above that level could pave the way to $0.36 or even $0.45. Conversely, a drop below $0.24 could tilt the outlook bearish in the near term.

The decline mirrors broader softness across the crypto market in recent sessions. For DOGE to break out, catalysts beyond the ETF—such as favorable regulation, adoption news, or another wave of retail enthusiasm—may be necessary.

DOGE’s Future Hinges on Growth, Not Just Wrappers

The DOGE ETF launch was a historic step for the coin, but its aftermath shows a clear paradox: packaging Dogecoin for Wall Street doesn’t automatically translate into new adoption.

Without a steady influx of first-time investors or novel use cases, the market may continue to see strong engagement but little price movement.

Still, Dogecoin has proven remarkably resilient over the years. Its loyal community, rising institutional attention, and ability to stay culturally relevant give it staying power.

The next phase of growth may depend less on financial wrappers like ETFs and more on whether Dogecoin can evolve beyond its meme roots to deliver sustained utility. If that happens, today’s lukewarm launch could look like a small bump on the way to bigger things.