Dogecoin has experienced a surge in investor activity, with active addresses surpassing 650,000, the highest since November 2024. This spike in activity indicates strong retail interest, especially since it occurred near the local top of $0.41, hinting at late-stage speculative buying.
The Net Unrealized Profit/Loss (NUPL) indicator has returned to the “Optimism” zone, showing that most DOGE holders are now in profit. While this reflects increased confidence, it could lead to selling pressure if resistance levels are not convincingly broken.
Despite a daily trading volume exceeding $5 billion during the recent price surge, Dogecoin’s DeFi total value locked (TVL) remains under $5 million. This suggests a significant gap between price action and network utility, indicating that the rally may have been driven more by sentiment and speculation than actual usage growth.
Dogecoin is currently consolidating around $0.225 after being rejected at $0.245. Momentum is showing early signs of weakening, with the MACD line facing downwards and RSI dropping to 62, indicating neutral sentiment. Failure to reclaim $0.245 could result in DOGE remaining range-bound or revisiting support levels near $0.220.
The Dogecoin price is holding above key EMAs near $0.220, keeping the bullish structure intact. However, weakening MACD and a cooling RSI suggest fading momentum. DOGE is currently range-bound between $0.220 and $0.245, with traders monitoring for a breakout or breakdown from this range.
Dogecoin’s on-chain activity reflects strong retail interest and rising profits, but the lack of fundamental utility and declining volume suggest a speculative rally. Technically, DOGE is holding above key EMAs, but fading momentum indicates uncertainty. A breakout above $0.245 could confirm bullish continuation towards $0.30, while a drop below $0.220 may trigger a deeper correction to $0.198 or $0.145. Traders should monitor DOGE’s movement closely before committing to a direction.
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