Dogecoin (DOGE) demonstrates an intriguing growth trend, albeit with some conflicting metrics. According to CoinMarketCap, Dogecoin’s 24-hour growth rate stands at 3.42%, with the price at $0.1342. This marks a significant deviation from the bearish trends observed over the past week, during which the coin experienced a more than 2% drop in a highly volatile market environment.
Traders’ Cautious Optimism
Dogecoin traders exhibit cautious optimism as the coin attempts to regain some of its lost value. Over the past month, Dogecoin reached as high as $0.1431. The current momentum aims to reclaim this milestone and potentially surpass it. Encouragingly, the price of Bitcoin (BTC) is in a rebound mode and might soon retest the $70,000 mark.
DOGE Chart. Source: CoinMarketCap
Dogecoin’s bullish correlation with Bitcoin is driving its price upward. However, the twist lies in the trading volume, which is not increasing at the same rate.
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CoinMarketCap data indicates that DOGE’s trading volume stands at $829,328,876, down by over 32%. This bearish twist suggests that core traders might remain cautious, given the potential for volatility to shift unexpectedly.
Signs Of Momentum Building
Despite the low trading volume, individual bets on Dogecoin are increasing. Earlier reports from U.Today reveal that more than $1.1 billion in DOGE were shifted within 24 hours, highlighting the coin’s widespread adoption by large buyers. Additionally, Dogecoin developers are working to enhance the protocol’s utility.
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They are confirming the expansion of Doginals and anticipating more mainstream integrations for DOGE. This rapid growth within the memecoin ecosystem suggests that Dogecoin could potentially retest its monthly high and reach the $0.2 target in the near future. While Dogecoin shows promising growth and potential for significant gains, traders remain cautious due to the inconsistency in trading volume.
The coin’s bullish correlation with Bitcoin and ongoing developments by its developers contribute to an optimistic outlook. Therefore, if the current momentum continues and trading volume picks up, Dogecoin could achieve its ambitious targets.
