USDG Historical Price and Return Analysis: Should I Buy USDG Now?

Abstract

This article comprehensively reviews the historical price movements and market volatility of Global Dollar (USDG) since its inception, combining data from bull and bear market phases to assess the potential returns for investors purchasing 10 USDG tokens and answer the critical question “Should I buy USDG now?” This analysis helps both newcomers and long-term investors identify optimal timing and growth opportunities.

Early Market Cycles: Historical Price Overview (2020 to 2023)

Global Dollar (USDG) is a USD-based stablecoin operating on Ethereum and Solana blockchains. As a regulated stablecoin backed by safe and liquid assets, USDG maintains a 1:1 redeemability ratio with the US dollar. Since its inception around 2020, USDG has traded at approximately $1.0 according to market records.

Below are the price changes for USDG during its early market phases:

2020

  • Opening Price: $1.0
  • Closing Price: $0.99918
  • Highest Price: $1.0
  • Lowest Price: $0.999
  • Annual Return: -0.18%

2021

  • Opening Price: $1.0
  • Closing Price: $0.9826
  • Highest Price: $1.03
  • Lowest Price: $0.9819
  • Annual Return: -1.8%

2022

  • Opening Price: $0.9854
  • Closing Price: $0.9889
  • Highest Price: $0.9959
  • Lowest Price: $0.9567
  • Annual Return: 0.36%

2023

  • Opening Price: $0.9763
  • Closing Price: $0.9709
  • Highest Price: $1.12
  • Lowest Price: $0.9582
  • Annual Return: -0.55%

An investor who purchased 10 USDG tokens in 2020 would see a potential return of -$0.01 if sold at the end of 2023, reflecting the stablecoin’s designed price stability near the $1.0 peg.

Volatility Period and Market Evolution: Return and Risk Analysis (2024 to 2025)

During this period, USDG experienced significant price volatility, departing substantially from its typical stablecoin peg. The market saw dramatic fluctuations that deviated considerably from the expected $1.0 stability.

Below are the potential returns for investors purchasing 10 USDG tokens during this phase:

  • 2024: $3.68
  • 2025: -$97.45

Recent Market Cycle: Should I Buy USDG Now? (2024 to Present)

In recent years, USDG has experienced unprecedented volatility compared to traditional stablecoin behavior, with prices reaching as high as $1.97 in 2024 before subsequently declining.

2024

  • Opening Price: $0.9632
  • Closing Price: $1.97
  • Highest Price: $1.97
  • Lowest Price: $0.9632
  • Annual Return: 104.99%

2025

  • Opening Price: $1.97
  • Closing Price: $1.0
  • Highest Price: $1.97
  • Lowest Price: $0.9988
  • Annual Return: -49.34%

2026 (To Date)

  • Opening Price: $1.0
  • Closing Price: $1.0
  • Highest Price: $1.0
  • Lowest Price: $1.0
  • Annual Return: -0.13%

Investors purchasing 10 USDG tokens during these recent periods would experience the following potential returns:

  • 2024: $36.80
  • 2025: -$974.50
  • 2026 to present: -$0.13

Summary: Market Cycles and Investment Timing Analysis

Through analysis of USDG’s historical price movements and potential returns, the token has demonstrated significant deviation from traditional stablecoin stability, particularly during 2024-2025. The extreme volatility and subsequent price correction back toward parity suggest that USDG’s behavior differs markedly from conventional stablecoins. Current market conditions require careful consideration of risk factors before determining whether this is an appropriate time to invest in USDG.

USDG-0.04%
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
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