June 15, 2021

Dogecoin Poised to Resume Uptrend as Network Activity Skyrockets

2 min read

Dogecoin gains crucial recommendation assuring to increase the network’s energy and may catalyze a new uptrend.

Mark Cuban Embraces Dogecoin

Dogecoin has been on a tear in the last 24 hours. The meme token saw its cost surge by more than 17%, going from a low of $0.051 to hit a new regular monthly high of $0.060.

Market individuals have actually rushed to exchanges to panic buy DOGE after billionaire Mark Cuban stated that its market value could increase by a tremendous 1,700%.

According to the Shark Tank financier, the Dallas Mavericks has processed over 20,000 DOGE transactions given that it began accepting it as payments for tickets and merchandise. Such success has made the expert basketball group the “& ldquo; largest Dogecoin merchant in the world.”

& rdquo; Cuban affirmed that if the Dallas Maverick can process another 6.60 billion Dogecoin worth of merchandise, DOGE will “& ldquo; certainly struck $1.”

& rdquo; Although Cuban’s remarks have actually produced FOMO among lovers, it deserves noting that the NBA team will have to sell almost $330 million worth of product for DOGE to reach such a bullish target.

DOGE Primed to Breakout

While a $1 target is improbable, Dogecoin is primed to resume its uptrend as its network has considerably expanded over the previous few weeks.

IntoTheBlock’s Daily Active Addresses model shows that the number of brand-new addresses produced on the Dogecoin blockchain bottomed-out on Feb. 28 at a low of 34,700 addresses each day. Since then, network development has actually increased.

Almost 60,000 brand-new addresses are being developed each day at press time, representing a 73% boost within the taken a look at duration.

Dogecoin New Daily Addresses by IntoTheBlock
Dogecoin New Daily Addresses by IntoTheBlock The network’s growth can be considered a really optimistic signal as it indicates a spike in user adoption over time. Considering that this on-chain metric is typically considered as among the most precise rate forecasts, it might forecast that DOGE’s price will follow suit.

Still, Dogecoin should close above the $0.058 resistance barrier to be able to advance higher. Moving past this important price hurdle might see the meme coin review Jan. 29’s high of $0.089.

Dogecoin US dollar price chart
DOGE/USD on TradingView Failing to declare $0.058 as assistance could instead result in a rejection that presses Dogecoin back to the $0.048 level. This crucial need barrier will need to hold for DOGE to avoid a steeper decrease towards $0.038.

Disclosure: At the time of writing, this author held Bitcoin and Ethereum.