Dogecoin might be very far from its highs, and current activity around the meme coin is far below what it once was, but that doesn’t mean the meme coin is no longer relevant. In fact, recent metrics show that the meme coin ecosystem is still capable when it comes to transaction activities. DOGE transaction volume has held steady above 1 million transactions every day throughout February, showing the current sentiment of traders and investors.
Dogecoin Transaction Volume Staying Strong
According to on-chain intelligence company IntoTheBlock, Dogecoin has been processing over 1 million transactions every day since January 30, a very bullish signal for the meme coin.
Dogecoin has processed more than 1M transactions every day since the 30th of January! pic.twitter.com/dpj83QLQr2
— IntoTheBlock (@intotheblock) February 19, 2024
To put this in context, the Bitcoin network has been averaging around 320,000 to 400,000 daily transactions since the beginning of the month, despite increased accumulation leading to BTC breaking above $52,000 for the first time since 2021.
While the hype around Dogecoin has cooled in recent months and is a shadow of what it can be, real users continue to send and receive the coin, keeping the blockchain network up and running. Notably, IntoTheBlock data shows the daily transaction count hit a high on February 2, with transactions soaring past 1.8 million.
What This Means For DOGE – Current Price Action.
A strong, stable transaction volume is a sign of network health, activity, and potential bullish price action since mainstream adoption is key to the success of any crypto asset. The high transaction numbers also point to the growing utility and adoption of DOGE.
The heightened activity, along with other market factors like the inflow into the crypto market, seems to have reflected in the price of DOGE, with the crypto reaching the $0.091 mark on February 20.
However, price action in the past 24 hours has shown a decline since reaching the $0.09 price level. Similarly, trading volume data from Coinmarketcap is currently indicating a 19.56% decline in the same time frame. At the time of writing, DOGE is trading at $0.08486, a 3.79% decline.
Dogecoin’s future remains as uncertain as any cryptocurrency, but its transaction volume, along with accumulation from large investors, provides a metric worth watching. It’s only been two months into 2024, and future price action throughout the year can remain positive as long as the DOGE network stays active with real volume.
For this to come to reality, Dogecoin has to maintain real-world utility among investors. The Dogecoin Foundation announced an ambitious 2024 roadmap in a blog post earlier in the month which promises increased utility and development on the crypto’s ecosystem.
DOGE price recovers toward $0.085 | Source: DOGEUSD on Tradingview.com
Featured image from LinkedIn, chart from Tradingview.com