Dogecoin Hits 1.93M Weekly Transactions as Active Addresses Rise, Price Targets $0.11
Dogecoin blockchain records nearly 2 million transaction in the previous week, which indicates an increasing network activity. Will the price follow?
Key Takeaways
- Dogecoin transaction activity surged to 1.93 million weekly transactions.
- Daily active addresses rose to 54,700, signaling network growth.
- Price faces key resistance at $0.11, possible breakout ahead.
According to the data from IntoTheBlock , Dogecoin (DOGE) has experienced a surge in transaction activity, reaching 1.93 million weekly transactions. This uptick is the highest since July and signals growing interest in the network, potentially indicating a price breakout.
DOGE decreased by around 60% from its yearly high and is currently trading at $0.10. As it previously interacted with its descending resistance, a slight retracement could mean it is gearing up for a rally.
Dogecoin Network Stats Show Promise
The transactions chart shows an increase from Sept. 12 to 14, peaking at 461,370 on Sept. 13. Since then, it diminished to 184,000 but is still higher than it was in the previous period.
It is worth noting that the number of transactions does not mean investors buy more DOGE, but it could be interpreted as a bullish sign since the activity increased.
The number of daily active addresses also increased, from a low of 43,390 to a high of 54,700. This is still slightly lower than the previous peak of 55,000 made on Aug. 16 after a temporary dip.
However, an uptick in daily active addresses is always a positive sign as it implies growing network activity.
Most investors are profitable, meaning they bought DOGE at a lower price than its current $0.10, with the number of profitable addresses coming close to 80%. Looking at the unprofitable holders, there isn’t a significant cluster. The price appreciation won’t encounter a strong pushback below $0.11, as resistance here is small, per the data .
DOGE Price Analysis
On March 28, the price of DOGE reached its yearly high of $0.22 concluding its five-wave pattern from October 2023. As a result we saw a prolonged correction taking place inside a descending triangle.
The price was retraced to the 0.768 Fibonacci level, around $0.09, which correlates with the horizontal support zone previously made. As it bounced, another interaction with its descending resistance where it got rejected.
Despite the slight downturn, DOGE is still bullish. If the price holds above its previous low on the current decline and makes another upturn, a breakout to the upside would be highly likely.
There is a small chance that another lower low is ahead before DOGE could move upwards which is why a confirmation is awaited.
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