Over the past week, DOGE, like other cryptocurrencies, has suffered a significant price drop following reports of US enforcement actions 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%, which it considers to be one of the biggest losers in the past seven days. data from CoinMarketCap.
However, there are some positive developments regarding the meme coin, which indicate that investors could soon see significant price gains.
DOGE Record Transactions Worth Over $100,000 – Price Hike Coming?
In a X message on November 23, popular crypto analyst Ali Martinez shared that the DOGE market recorded $100,000 in transactions last month based on data from In The Block.
According to Martinez, this development marks increasing interest in DOGE from both major institutional players and crypto whales, meaning the first meme coin could see a price increase soon.
#Dogecoin | There is a remarkable influx $DOGE transactions exceeding $100,000 in the past month, consistently reaching new highs.
This increase indicates an increased interest in #DOGE from institutional players and whales, who may be preparing for a significant price increase. pic.twitter.com/UpxVkfu9hW
— Ali (@ali_charts) November 23, 2023
Blockchain analytics company Santiment provides more insight into this positive trend in the DOGE market reported that 121 new wallets containing more than 1 million DOGE were created in the past month, calling this “a sign of high monetary interest.”
Santiment noted that Dogecoin also recently recorded the largest spike in activity from dormant wallets, signaling a coming reversal in the token’s price trend, which is currently negative.
Behind the increase in the number of transactions at DOGE – the co-founder of Dogecoin weighs in
When explaining the driving force behind the increasing Dogecoin transactions, the token’s founder, Billy Markus, with the X username Shibetoshi Nakamoto, pointed to the introduction of ordinal numbers and shitcoins.
This information was revealed in a separate message on X in response to a crypto enthusiast who highlighted the “parabolic” trend in the number of transactions on the Dogecoin network.
ordinal numbers and shitcoins using doge blockchain
— Shibetoshi Nakamoto (@BillyM2k) November 24, 2023
DOGE Ordinals, popularly known as ‘Doginals’, are very similar to the Bitcoin Ordinals. They are called DRC-20 token standards, which allow users to write information about the smallest individual units of a Dogecoin, that is, shibes.
With the DRC-20 standard, DOGE users can now create non-fungible tokens (NFTs) that are supported by the Dogecoin network. Understandably, this has led to a significant increase in the number of transactions on the Dogecoin network.
While this development marks greater adoption of networks, which could attract investors, the increase in transactions also comes with high network fees, which could drive away network users.
At the time of writing, DOGE is trading at $0.078 with a gain of 0.4% in the 24 hours. Meanwhile, its trading volume has increased by 13.20% and is valued at $374.16 million.
DOGE trading at $0.0775 on the daily chart | Source: DOGEUSDT chart on Tradingview.com
Featured image from PYMNTS, chart from Tradingview