There’s some positive news for the meme coin. Recent developments suggest that investors might soon see a substantial increase in its price.
During the past week, Dogecoin (DOGE) faced a notable drop in its price, much like other cryptocurrencies. This decline came in response to reports of US regulatory actions targeting Binance, the world’s largest exchange, and its CEO, Changpeng “CZ” Zhao. Notably, DOGE experienced a total price decrease of 6.85%, making it one of the most impacted coins over the last seven days, according to data from CoinMarketCap.
Signs of Institutional Interest: DOGE Market Indicates Potential Price Surge
In a recent post on X dated November 23, crypto analyst Ali Martinez revealed that the DOGE market witnessed $100,000 in transactions over the past month, according to data from In The Block. Martinez suggests that this uptick signals growing attention from major institutions and cryptocurrency whales, hinting at a potential price boost for the original meme coin.
#Dogecoin | There's a notable surge in $DOGE transactions exceeding $100,000 in the past month, consistently hitting new highs.
This uptick suggests increased interest in #DOGE from institutional players and whales, potentially gearing up for a significant price spike. pic.twitter.com/UpxVkfu9hW
— Ali (@ali_charts) November 23, 2023
Delving deeper into the positive momentum within the DOGE market, blockchain analytics firm Santiment reported the creation of 121 new wallets, each containing over 1 million DOGE, in the last month. Termed as “a Sign of Big Money Interest,” this surge in large-wallet creation further supports the notion of increasing institutional engagement.
Santiment highlighted another noteworthy trend, noting that Dogecoin recently experienced its most significant spike in activity from dormant wallets. This shift indicates a potential reversal in the token’s current negative price trend, adding to the optimism surrounding DOGE’s future performance. As institutional interest grows and new wallet activity surges, DOGE investors are watching closely for potential gains in the coming days.
Dogecoin Transactions Surge: The Impact of Doginals and Shitcoins
In response to a crypto enthusiast’s observation of a “parabolic” trend in Dogecoin network transactions, the token’s founder, Billy Markus, known as Shibetoshi Nakamoto on X, explained the driving force behind this surge. Markus pointed to the introduction of ordinals and shitcoins, particularly highlighting the significance of DOGE Ordinals, also known as “Doginals.”
Dogecoin transactions are going parabolic
Does anyone know why? pic.twitter.com/qBRQGiLhOp
— 💸💸💸 (@itsALLrisky) November 24, 2023
Similar to Bitcoin Ordinals, Doginals operate under the DRC-20 token standards, allowing users to embed information on the smallest individual units of Dogecoin, referred to as shibes. This new standard enables DOGE users to create non-fungible tokens (NFTs) supported by the Dogecoin network, contributing to a notable increase in network transactions.
While this surge reflects heightened network adoption, potentially attracting investors, it comes with a drawback. The increased transactions are accompanied by elevated network fees, which may deter some users.
As of the latest update, Dogecoin is trading at $0.078, showing a 0.4% gain in the past 24 hours. The trading volume has increased by 13.20%, reaching $374.16 million. Investors are closely monitoring these developments, considering the balance between increased activity and potential challenges posed by higher network fees.
DOGE trading at $0.0775 on the daily chart | Source: DOGEUSDT chart on Tradingview.com
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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