Due to its remarkable ascent, Dogecoin (DOGE), the original meme coin with a dog theme, has become the talk of the cryptocurrency world. Investors and enthusiasts who have been interested in this upward trend in recent years advise conducting a thorough investigation of the factors causing this climb.
Increased Transaction Activity
Dogecoin’s transaction volume has increased dramatically over the last two days, from 1.22 billion to an incredible 9.20 billion, according to analytics platform Santiment.
During this period, the Age Consumed metric also experienced a significant increase, indicating the return of long-stationary coins to the market. This trend usually signals a shift in the sentiment of the market and has previously preceded large increases in Dogecoin’s price.
Examining the Market Value to Realized Value (MVRV) ratio—the 7-day and 30-day ratios stand at 6.62% and 14.38%, respectively—indicates that holders may have realized little profit, which could indicate a bullish outlook and a favorable environment for accumulation.
IntoTheBlock’s data, which shows a surge in significant Dogecoin transactions, also supports the bullish narrative. This could be attributed to the curiosity of institutional newcomers as well as heavyweight investors.
The Way Forward: Technical Analysis
From a technical perspective, Dogecoin is just shy of breaking over a crucial resistance level at $0.181. Breaking beyond this level might start a 52% rally towards the next major obstacle at $0.279, which would set the stage for more advances or consolidation.
The Rise of Dogecoin as a “Meme Blue Chip”
In the flurry of statistics and analysis, Dogecoin’s resurgence emphasizes its ongoing presence and relative stability in the typically volatile meme currency industry, earning it the moniker “meme blue chip” in the cryptocurrency world, as previously reported by ETHNews.
At the time of writing, the DOGE price has climbed by 1.39% and 39.14% in the previous 24 hours and 7 days, respectively, to $0,1841.
⚠️Disclaimer
This content aims to enrich readers with information. Always conduct independent research and use discretionary funds before investing. All buying, selling, and crypto asset investment activities are the responsibility of the reader.
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