Following the inauguration of US President Donald Trump, the Dogecoin network has experienced a notable spike in activity. While thisincrease in activity spans across the entire crypto landscape, on-chain data has unveiled intriguing trends among Dogecoin investors. These insights were highlighted by crypto analyst Ali Martinez, who, utilizing data from the analytics platform Santiment, pointed out a striking rise in high-value transactions on the Dogecoin network. As reported by Martinez, Dogecoin has seen an impressive 588 transactions surpassing $1 million in the past 24 hours.
Increased Interest in Dogecoin from Large Transactions
The recent uptick in substantial Dogecoin transactions hints at a potential significant upswing, as such activity often signifies a liquidity bottom paving the way for upward movement. Historically, an increase in high-value transactions corresponds with boosted investor confidence, particularly when the market sentiment shifts towards the bullish side.
In the case of Dogecoin, these transactions are not only substantial but remarkably noteworthy, each exceeding $1 million. The compelling nature of this surge is amplified by its timing, coinciding with the positive sentiment surrounding Donald Trump’s inauguration. As a result, the current rise in transactions appears more reflective of accumulation rather than sell-offs or profit-taking.
The broader cryptocurrency market is currently in a bullish phase, as savvy investors are entering early in anticipation of a supportive environment for crypto under the new Trump administration. This adds weight to the notion that these transactions might be accumulations rather than sell-offs. Even if some of the activity involves selling, the prevailing bullish sentiment indicates that any such events may be temporary, quickly absorbed by the market’s overall positive momentum.
Dogecoin is alsogaining traction on social media, with over 500,000 mentions on platform X in the last 24 hours. This surge in visibility comes from the establishment of the Department of Government Efficiency, sharing the same acronym as Dogecoin’s ticker (DOGE), which has sparked considerable enthusiasm. Increased visibility on social media often leads to greater retail involvement, potentially creating a synergistic effect with whale activity to propel the price higher.
DOGE Price Analysis: A New Multi-Year Bullish Pattern
According toa recent technical analysis, Martinez observed that DOGE is tradingwithin a multi-year ascending parallel channel on the weekly candlestick timeframe. The ongoing bullish trend gained traction after Dogecoin rebounded from the lower trendline of the channel in late 2023, and the meme coin has been on an upward trajectory since then. This sustained upward movement along the channel suggests that DOGE could continue its bullish path in a longer time frame.
Regarding price targets, the chart indicates a bullish target of $15 at the upper trendline of the ascending parallel channel. At present, DOGE is trading at $0.343, which means that reaching this target would signify an extraordinary 4,273% increase from its current value.
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