Dogecoin’s 100% spike in trading volume- Here’s what you shouldn’t miss out on
Do you hold some Dogecoins? Are you an advocate for this meme coin as the ‘future currency of the internet?’ Well, in that case, you should know that in the last 24 hours, the coin recorded a significant spike in its trading volume.
At a 200% spike in its trading volume in the last 24 hours, no corresponding increment was observed on a price front within the same period.
However, fear not. Let us have a look at the price charts and the chain to decipher what this means.
With a 7% decline in price in the last 24 hours, the meme coin stood at $0.113 at the time of this writing.
Movements on the price charts pointed towards a significant bearish bias within the last 24 hours. Notably, the RSI and the MFI nosedived into critical oversold positions.
The RSI tested the 29-mark while the MFI registered a spot at the 13-mark. With this, the significant spike in the trading volume of the meme coin within the last 24 hours might be indicative of holders distributing to take profit or maybe to cut losses.
Source: TradingView
In addition, despite the increased trading volume, the market capitalization for the DOGE dipped by 6% within the last 24 hours.
Source: CoinMarketCap
On-chain data revealed increased whale activity for the meme coin within the last 24 hours. For transactions greater than 100k, the coin recorded a 46% spike in whale transactions.
Similarly, for transactions over $1 million, the coin recorded an 82% increment in whale transaction count. Increased whale activity without a corresponding uptrend in price only points at one thing; distribution.
Source: Santiment
Furthermore, in the last 24 hours, the index for the daily active addresses on the DOGE network recorded a spike from 121.24k to 127.83k. This also provided an
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