Dogecoin Large Transactions Surge 41% With 35% Uptick In Daily Addresses, Will Price Follow?
Dogecoin activity has increased significantly over the past few hours as its price start to rebound After weekend correction. In the past 24 hours, there has been a significant increase in the number of large DOGE transactions being transferred through Dogecoin wallets. These large Dogecoin trades, which typically involve amounts in excess of $100,000, are often seen as important indicators of whale or institutional participation in the market.
Surge in trading activity despite large Dogecoin trades likely to be either sell-offs or accumulations Shows a positive trend For meme coins.
Dogecoin large transaction activity intensifies
The recent Dogecoin rally appears to be losing steam Following impressive surge This drives its Price is higher than $0.42 For the first time since the 2021 bull market. During the price increase, traders appeared to be taking profits, causing Dogecoin prices to retreat, taking Dogecoin prices back below the $0.40 mark. At the time of writing, Dogecoin price is currently trading below $0.40, having corrected to a low of $0.346 in the past 24 hours.
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The correction sparked the idea that Dogecoin’s price might finally be amplifying cryptocurrency investor sentiment. However, on-chain data suggests this may not be the case. Despite the price correction, activity on the Dogecoin blockchain continues to surge.
according to Data from analytics On the IntoTheBlock platform, Dogecoin’s large-scale transaction volume reached US$23.35 billion in the past 24 hours, a significant increase of 41.12% from the previous day. In addition, the number of active addresses in the blockchain during the same period was 157,190, a year-on-year increase of 34.91%.
What does this mean for DOGE prices?
These indicators highlight continued interest in Dogecoin, even during price corrections. Dogecoin’s massive trading volume and sharp increase in active addresses indicate that traders, especially large holders, remain attached to the meme coin.
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This new interest appears to have translated into increased buying pressure, as evidenced by the simultaneous rise in prices over the past 24 hours. DOGE has gained about 4% in the past 24 hours and is currently up 7.4% from its weekend lows.
Cryptocurrency analyst Captain Faibik notes that Dogecoin price fuels bullish sentiment On the verge of collapse Breakout of the upper trendline of the falling wedge pattern. This descending wedge has been developing since DOGE price reached a three-year high of $0.4265 on November 14 and began to consolidate. Based on this technical analysis, Captain Faibik predicts that a breakout of the wedge could trigger another rally, pushing the price of Dogecoin up 25% to $0.47
As of this writing, Dogecoin is trading at $0.38.
Featured image created using Dall.E, chart from Tradingview.com
