Dogecoin (DOGE) is back in the spotlight, and it’s not just because of its adorable mascot. After a jaw-dropping 70% price drop from its December 2024 high of $0.48, the memecoin is showing signs of life. The big players, those Dogecoin millionaires, are buying up DOGE like it’s going out of style, hinting at a potential price rebound.
Onchain metrics are buzzing with activity. Data from Santiment reveals that wallets holding at least 1 million DOGE have increased by 1.24% since February. That’s right, while prices were slipping, these crypto whales were quietly accumulating. And it’s not just the whales; active addresses have hit a four-month high, signaling a surge in network activity.
When the big dogs start buying during a dip, it’s often a sign that they see value where others don’t. This accumulation could be the precursor to a price rally. If this uptick in user activity is driven by genuine adoption rather than panic selling, we might be on the brink of a significant price recovery. Remember DOGE’s massive 200%-plus rally last November? History might just repeat itself.
Now, let’s talk technicals. Dogecoin is flirting with a crucial support level—a multi-year ascending trendline that’s historically sparked bullish reversals. Add to that the 200-week exponential moving average (EMA) around $0.13, and you’ve got a recipe for a potential breakout.
The Stochastic RSI is also flashing bullish signals in the oversold region. This crossover has previously heralded strong price recoveries, like the 400% surge in 2024 and the 88% gains in 2023. Could we be on the verge of another explosive rally?
The first hurdle for DOGE lies at $0.22, aligning with its 50-week EMA and past resistance levels from March-April 2024. But if DOGE can’t hold its ground at the support confluence, we might see a dip toward $0.12, a level that acted as support earlier this year.
In the world of crypto, nothing is set in stone. While the signs point to a potential rally, investors should tread carefully and do their own research. The crypto market is as unpredictable as ever, but for those willing to take the plunge, Dogecoin might just be gearing up for its next big move.
This article isn’t financial advice—just some food for thought for all you crypto enthusiasts out there. Keep your eyes peeled and your wallets ready; Dogecoin might just surprise us all once again.
