Dogecoin’s resurgence: is the meme coin poised for a rebound?
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After months of steep declines, Dogecoin (DOGE) is showing signs of a potential recovery, backed by key on-chain and market indicators. The meme coin market, which lost over $1 trillion in capitalization during the recent downturn, saw DOGE drop from $0.50 in early December to a low of $0.14 by mid-March. Despite a modest recovery to $0.17, the asset remains 60% below its January peak.
However, several factors suggest that a bullish reversal could be imminent. Whale activity has notably increased, with more than 110 million DOGE accumulated in the past week alone, reducing selling pressure and signaling renewed confidence among large investors. The TD Sequential indicator, a widely used momentum tool, has flashed a buy signal on the three-day chart, hinting at an exhaustion of the recent downtrend.
Network activity further supports the bullish case. Dogecoin’s active addresses surged to a four-month high, surpassing 280,000, a significant increase from the 100,000 level seen weeks ago. Typically, heightened network engagement translates to stronger price momentum, reinforcing the likelihood of an upward move. Additionally, wallets holding at least 1 million DOGE have increased by 1.2% since February, indicating accumulation by long-term holders.
From a technical perspective, a break above the $0.20 resistance could trigger further gains, with the next key target at $0.25–$0.30 if momentum sustains. On the downside, $0.14 remains a critical support level. Should macroeconomic conditions and overall risk sentiment improve, Dogecoin could regain traction, mirroring past cycles where large-scale accumulation preceded significant rallies.
However, several factors suggest that a bullish reversal could be imminent. Whale activity has notably increased, with more than 110 million DOGE accumulated in the past week alone, reducing selling pressure and signaling renewed confidence among large investors. The TD Sequential indicator, a widely used momentum tool, has flashed a buy signal on the three-day chart, hinting at an exhaustion of the recent downtrend.
Network activity further supports the bullish case. Dogecoin’s active addresses surged to a four-month high, surpassing 280,000, a significant increase from the 100,000 level seen weeks ago. Typically, heightened network engagement translates to stronger price momentum, reinforcing the likelihood of an upward move. Additionally, wallets holding at least 1 million DOGE have increased by 1.2% since February, indicating accumulation by long-term holders.
From a technical perspective, a break above the $0.20 resistance could trigger further gains, with the next key target at $0.25–$0.30 if momentum sustains. On the downside, $0.14 remains a critical support level. Should macroeconomic conditions and overall risk sentiment improve, Dogecoin could regain traction, mirroring past cycles where large-scale accumulation preceded significant rallies.