Dogecoin’s million-dollar trades: Will DOGE holders see a 2021 re-run now?

  • The transactions reached the same peak as the time DOGE hit its ATH.
  • On-chain data revealed that the price might retest $0.19 again.

Dogecoin [DOGE] transactions valued at $1 million and above increased by a staggering 600% in the last 30 days, AMBCrypto discovered. But this development only scratched the surface of what has been happening with the coin lately.

Furthermore, the unprecedented move marked the highest number of million-dollar transactions since DOGE hit its all-time high in May 2021. DOGE’s all-time high was $0.73 which it reached on the 5th of May, 2021.

on-chain data showing how DOGE $1 million transacitons increased

Source: X

Has the conditions changed?

At that time, large transactions were one of the catalysts that drove the value higher. However, the glee around Dogecoin during that period was much more than it is now.

This was because memecoins producing mind-altering gains were not as many as the number the market has now. Because of that, attention span was not as divided.

Despite the difference in circumstances, the rise in transactions could be a bullish signal for DOGE.

At press time, Dogecoin changed hands at $0.16, indicating that it was 77.38% down from its ATH. But does DOGE have the capability to surpass the price this cycle?

On different occasions, AMBCrypto reported price predictions explaining how the coin might hit $1 this cycle. However, if the coin were to repeat its performance, it would take more than a whispering campaign.

Outside of the on-chain condition, we also mentioned how Coinbase listed the coin on its futures market. For Dogecoin’s price, this could be good considering how stringent the exchange listing conditions are.

Furthermore, we decided to look at DOGE by comparing user activity in 2021 to press time. To do this, we employed the active addresses.

At press time, Dogecoin’s 24-hour active addresses had decreased to 58,400.  In May 2021, the number was around 242,000, indicating a good level of utility on the blockchain.

Dogecoin's declining active addresses and increasing price actionDogecoin's declining active addresses and increasing price action

Source: Santiment

DOGE wants to surpass its peak

But at different times, the memecoin has crossed that number. For example, active addresses hit 794,000 in a full-blown bear market in 2022. Despite many downturns, DOGE’s price did not stop appreciating.

Therefore, it is not out of position to mention that the value might tap the ATH or cross it this cycle. This Weighted Sentiment shown by traders also aligned with this potential.

As of this writing, Dogecoin’s Weighted Sentiment had left the negative region, and risen to 0.457. The hike here, suggests that market participants were bullish on the short-term price action.

In terms of the one-day circulation, on-chain data revealed that the metric dropped. At press time, the circulation was down to 557.4 million, indicating a decrease in usage.

Read Dogecoin’s [DOGE] Price Prediction 2024-2025

A decrease also means less likelihood of widespread sell-offs. Consequently, DOGE’s price might ascend more than it has done within a short period.

In a highly bullish case, the value of the coin might revisit $0.19 one more time.

Dogecoin metrics indicating a possible price increaseDogecoin metrics indicating a possible price increase

Source: Santiment

Next: Is Pikamoon the next crypto bull run’s Axie Infinity?

Source link

About The Author

Scroll to Top