Dogecoin (DOGE) has been struggling to keep pace, and in the last 30 days, the memecoin has depreciated 38.43%.
On-chain data from Santiment reveals that wallets with a balance of at least 1 million DOGE have increased by 1.24% since the start of February.
This accumulation trend suggests that these major investors regard DOGE as underpriced and might be preparing for an upcoming surge. Historically, these accumulation phases have come ahead of price recoveries to the upside.
At the same time, on-chain data also points out that active addresses for Dogecoin have spiked to above 150,000 per day, the highest since mid-November. This trend of increasing transaction volume suggests growing utilization, which might become a key driver of price stability and recovery in the future.
If this rise in user activity is based on adoption rather than panic-driven transactions, it could help set the stage for a sustained bullish move.
DOGE's current price is 70% lower than its December 2024 peak price of $0.48, which was $0.48, and is trading around $0.1666.
Trading at $0.1661 on Binance, DOGE keeps its declining trend on the 5-minute chart. With lower highs and lows developing, the 9-period EMA (blue line) points to continuous bearish momentum. A key support level around $0.165 could determine the next price movement. However, considering the increasing network activity, DOGE might be getting ready for a relief rally.
Disclaimer: This article is for informational purposes only and should not be considered financial advice. Always conduct your own research before making financial decisions.
