Dogecoin Surges 39% as Network Activity Increases Amid Market Rally
Dogecoin (DOGE) has increased over 39%, generating enthusiasm among traders and investors. Data from IntoTheBlock indicates a significant rise in DOGE network activity over the past month, suggesting potential for further gains. As Bitcoin approaches its all-time high, confidence grows that DOGE may challenge its yearly high of $0.228.
The uptick in network engagement reflects increased interest from both new and seasoned investors. The bullish sentiment surrounding Dogecoin indicates anticipation for additional price increases. With Bitcoin’s performance supporting market strength, DOGE’s momentum could lead to new local highs soon.
Dogecoin Activity Supporting Price Action
Analysts expect this rally to continue, as IntoTheBlock data shows a marked increase in daily active addresses on the Dogecoin network with several spikes in activity recently.
This surge in network activity typically indicates rising demand and optimism. Currently testing a critical supply level around $0.18, bulls aim to maintain momentum to breach this level and target the yearly high of $0.228.
A successful breakout above $0.18 could trigger a significant rally. Conversely, if resistance occurs at this level, a retracement to lower demand zones might provide necessary liquidity for future upward movement. The increased network activity signals growing interest, positioning Dogecoin favorably amid current market enthusiasm.
DOGE Price Action Signals Strength
Currently trading at $0.172, Dogecoin has rebounded 39% after hitting its daily 200 moving average (MA) at $0.127. This support level suggests renewed long-term strength, indicating potential for an ongoing uptrend.
Price action remains resilient, with DOGE holding above $0.165, implying bullish control and possible higher prices.
A healthy retracement to $0.165 or even $0.15 would support the bullish structure, enabling DOGE to gather liquidity for another upward move toward its major target of yearly highs around $0.228.
With positive sentiment in the crypto market and solid technical indicators for DOGE, analysts consider current price levels as potential precursors for another rally. Traders will monitor for signs of strength or pullbacks as DOGE prepares for its next test.
Featured image from Dall-E, chart from TradingView