Dogecoin, the popular meme-based cryptocurrency, is experiencing a boost in activity. Over the past 24 hours, there’s been a significant increase in both trading volume and the number of active users.
More People are Using Dogecoin
Daily active addresses, which represent the number of unique wallets involved in transactions, have reached a 30-day high. This means more people are buying, selling, and transferring Dogecoin.
The number of new Dogecoin addresses created is also on the rise. This suggests that not only are existing users more active, but new people are joining the Dogecoin ecosystem.
What Does This Mean for the Price?
This surge in activity could potentially lead to a price increase. More users and transactions usually mean higher demand, which can drive up the price of an asset.
However, it’s important to note that the price of Dogecoin hasn’t yet reflected this increased activity. While there was a brief jump in price, it has since dipped.
Is It a Bullish Signal?
While the increase in trading volume could be due to selling, data suggests that more Dogecoin is being moved from exchanges to private wallets than the other way around. This could indicate that some traders are holding onto their Dogecoin, which could be a bullish sign.
However, it’s still too early to say for sure whether this surge in activity will translate into a sustained price increase.
