Dogecoin (DOGE) Set For Major Price Upswing, Analyst Says

In the last week, DOGE, alongside other cryptocurrencies, suffered a significant price dip following reports of US enforcement action on the world’s largest exchange, Binance, and the company’s CEO, Changpeng “CZ” Zhao. In particular, DOGE recorded a cumulative price loss of 6.85%, ranking as one of the biggest losers in the last seven days, according to data from CoinMarketCap.

However, there are some positive developments regarding the meme coin, which indicate that investors may soon record a significant price gain.

In an X post on November 23, popular crypto analyst Ali Martinez shared that the DOGE market recorded $100,000 in transactions in the past month based on data from In The Block.

According to Martinez, this development marks a rising interest in DOGE from major institutional players as well as crypto whales, which means the maiden meme coin could be set for a price boost soon.

#Dogecoin | There's a notable surge in $DOGE transactions exceeding $100,000 in the past month, consistently hitting new highs.

This uptick suggests increased interest in #DOGE from institutional players and whales, potentially gearing up for a significant price spike. pic.twitter.com/UpxVkfu9hW

— Ali (@ali_charts) November 23, 2023

Providing more insight into this positive trend in the  DOGE market, blockchain analytics firm Santiment reported that 121 new wallets containing over 1 million DOGE have been created in the last month, terming it “a Sign of Big Money Interest.”

Santiment noted that Dogecoin has also recently recorded its largest spike in activity from dormant wallets, which indicates an incoming reversal of the token’s price trend, which is currently negative. 

In explaining the driving force behind increasing Dogecoin transactions, the token’s founder Billy Markus, with the X username Shibetoshi Nakamoto pointed out the introduction of ordinals and shitcoins.

This information was revealed in a separate post on X in response to a crypto enthusiast who highlighted the “parabolic” trend in the number of transactions on the Dogecoin network.

ordinals and shitcoins using doge blockchain

— Shibetoshi Nakamoto (@BillyM2k) November 24, 2023

DOGE Ordinals, popularly known as “Doginals,” are quite similar to the Bitcoin Ordinals. They are referred to as DRC-20 token standards, which allow users to inscribe information on the smallest individual units of a Dogecoin, i.e., shibes.

With the DRC-20 standard, DOGE users can now create non-fungible tokens (NFTs) supported by the Dogecoin network. Understandably, this has led to a substantial rise in the transactions on the Dogecoin network.

While this development marks an increased network adoption, which could attract investors, the increase in transactions is also accompanied by high network fees, which may drive away network users. 

At the time of writing, DOGE trades at $0.078 with a 0.4% gain in the 24 hours. Meanwhile, its trading volume is up by 13.20% and valued at $374.16 million.