A substantial volume of older Dogecoin (DOGE) is now in motion, departing dormant wallets in an indication that the value of the meme-inspired cryptocurrency might be on the verge of a directional shift. This activity coincides with a rising trend of wallets accumulating over 1 million DOGE, with 121 new such wallets emerging in a single month—an evident signal of heightened interest from significant financial players.
Santiment, an on-chain analytics firm, has reported the most significant upswing in older DOGE leaving dormant wallets based on data from the Dogecoin network. Concurrently, the creation of 121 wallets holding one million or more tokens within a month underscores a noteworthy surge in big money interest. Despite this, Dogecoin has struggled to match the performance of other prominent digital assets this year, with an approximately 8% increase compared to Bitcoin’s nearly 125% year-to-date surge.
Recent data also reveals a notable increase in the open interest of Dogecoin futures contracts, spiking by around 40%. This surge suggests an elevated risk appetite among traders, a trend historically associated with local price peaks in the cryptocurrency market. While increased open interest generally signals bullish sentiment, an excessively high or sudden spike can serve as a bearish indicator, potentially hinting at an imminent shift in market dynamics as traders may initiate short positions.
A prominent crypto analyst, known as Crypto Tony, has predicted on the microblogging platform X (formerly Twitter) that DOGE’s price could surge to approximately $0.085 from its current level of around $0.077. The analyst anticipates the commencement of a bullish phase for meme-inspired cryptocurrencies, often beneficiaries of cryptocurrency bull markets.
In 2021, Dogecoin gained significant attention during its extraordinary 10,000% price rally, witnessing a surge in search interest from an average of 135,000 monthly searches in April 2020 to 16.5 million in April 2021.
Originally created as a joke in 2013, Dogecoin’s community is renowned for engaging in philanthropic endeavors, including supporting charitable organizations. Notably, in 2014, Dogecoin made headlines by raising over $25,000 worth of DOGE to facilitate the Jamaican bobsleigh team’s participation in the Winter Olympics in Sochi.