Dogecoin Transactions Are Surging as Cryptocurrency Market Rebounds
Whales may be staking more DOGE as the market begins to show some signs of recovery in preparation for a potential rebound run. As part of its rise, Dogecoin made a higher low for the first time in the previous five months, perhaps indicating a market reversal.
Dogecoin Transactions Are Surging as Cryptocurrency Market Rebounds
The developer of Dogecoin brought attention to the sharp rise in the number of transactions on the chain when the data unexpectedly hit almost 70,000 operations in the past 24 hours.
A surge in the number of Doge transactions followed the abrupt recovery of the cryptocurrency market. The two biggest cryptocurrencies, ETH and BTC, saw gains of 27% and 9%, respectively, over the weekend trading session.
In terms of DOGE's price performance, the meme-currency is increasing in value by about 6% in the last 48hrs, which is a modest increase for such a volatile asset. The increasing activity of whales might be the cause of the surge in transactions on the Dogecoin network.
Whales may be staking more DOGE as the market begins to show some signs of recovery in preparation for a potential rebound run. As part of its rise, Dogecoin made a higher low for the first time in the previous five months, perhaps indicating a market reversal.
The sharp increase in network transactions may also be an indication of impending market selling pressure as whales may start shifting their money from cold wallets to exchange addresses.
In this case, Dogecoin's brief rebound run would come to an abrupt end due to a lack of market volume that might accommodate another surge in selling pressure. After reaching an ATH in May 2021, the memecoin has been moving in a steep downturn for more than a year.
At the time of writing, Dogecoin is trading at $0.066 and has increased in price by about 3.5 percent in the last 24hrs.
