Dogecoin (DOGE) Transaction Volume Skyrockets By 41% As Daily Active Addresses Surge By 35%, Can This Propel DOGE To $1?

Dogecoin (CRYPTO: DOGE) has seen a massive increase in its large transaction volume, skyrocketing by an impressive 41.12% to reach $23.35 billion, according to recent data from IntoTheBlock.

What Happened: The world’s first and largest meme coin has seen a notable uptick in activity over the past few days.

According to recent market data, Dogecoin’s large transaction volume has skyrocketed by over 41%, while daily active addresses have increased by more than 35%.

These developments, which indicate a surge in interest among large-scale token holders, could act as a catalyst to push the Dogecoin price towards the coveted $1 mark.

Large-scale transactions, involving significant amounts of a specific cryptocurrency, are often associated with entities known as ‘whales,’ who execute strategic moves that have the potential to influence market trends.

This makes the large transaction volume metric particularly impactful in shaping the broader market narrative.

In the case of Dogecoin, the large transaction volume serves as an indicator of the interest and activity among deep-pocketed players, such as institutional investors or ‘whales,’ who may be placing large orders or engaging in trades that significantly influence the token’s price movements.

Furthermore, the sharp surge in large transaction volume could suggest growing interest from parties who see potential in the meme coin’s future trajectory.

This sustained interest and engagement, particularly among institutional investors, can contribute to a cryptocurrency’s long-term growth and stability within the market.

On the other hand, Dogecoin price dropped over 2.2% in the past 24 hours to reach $0.33 at press time. However, ITB reported that Dogecoin price remained “mostly bullish,” despite the price volatility and fluctuations in the market.

This bullish sentiment contrasts with the recent price drops and could indicate optimism among investors. Interestingly, the bullish outlook may be fueled by the surges in Dogecoin’s on-chain metrics, which include both large transaction volume and daily active addresses.

These surges could act as a potential catalyst for a price rebound in the coming days.

Despite facing regular backlash over its speculative nature, Dogecoin’s ability to maintain relevance and growth in the crypto market cannot be overlooked.

The increase in Dogecoin’s large transaction volume and daily active addresses could be an early indicator of a broader trend shift, potentially signaling the meme coin’s next upward rally.

While IntoTheBlock marks these surges in on-chain metrics as “bullish,” breaking past $1 will likely require more external catalysts and a change in current market conditions.

For instance, crypto analyst Trader Tardigrade recently predicted that Dogecoin could rise to the $1 benchmark very soon.

However, the meme coin’s recent pullback could act as a bullish springboard, as the analyst noted that a retracement often precedes a massive price rally in the market.