Dogecoin (DOGE) Analysis: 5.8B Tokens Move as $15 Target Looms

Dogecoin (DOGE) has seen 5.8 billion tokens become active and change hands, according to data shared by analyst Ali (@ali_charts). 

This movement of previously dormant tokens is often viewed as a sign of increased market activity, which could signal a shift in sentiment.

Source: X

At the time of writing, Dogecoin was trading at $0.4056, with a 24-hour trading volume of $4.41 billion. Despite a 1.40% price decline over the past 7 days, market participants are closely watching for a potential breakout fueled by this renewed activity.

Historical Cycles Point to Potential Breakout

Crypto analysts JAVON⚡️MARKS have pointed to Dogecoin’s recurring historical patterns, which suggest the asset could be on the verge of another major move. Previous Dogecoin price cycles have consistently followed a descending triangle or accumulation phase, eventually leading to a breakout. 

In the first notable cycle between 2014 and 2017, Dogecoin consolidated for years before rallying to $0.015. During the second cycle from 2017 to 2021, a similar pattern preceded the breakout to Dogecoin’s all-time high (ATH) of $0.739. 

Meanwhile, the current cycle, which began in 2021, appears to be in its final consolidation stage, with analysts expecting a breakout to new highs. 

Source: X

JAVON⚡️MARKS stated, 

“History says Dogecoin is about to record a near +75% gain and more, to and above its current ATH’s ($0.73905) before much, much higher.” 

Longer-term projections include a low-end target of $3 and a potential high-end range of $7.20 to $15.

Technical Indicators Suggest Mixed Signals

On the technical front, Dogecoin’s price has been consolidating after its November rally. The Bollinger Bands on the daily chart are narrowing, which typically signals reduced volatility and a buildup for a larger move. 

The price is holding support near the lower band at $0.38, while resistance lies at the midline around $0.42. A decisive breakout above $0.42 could trigger renewed buying pressure and push the price toward its previous ATH of $0.7316. 

Source: TradingView

However, the MACD indicator currently shows bearish momentum, as the MACD line remains below the signal line and red histogram bars persist. If buyers regain control and drive the price above the midline resistance, a larger upward trend could materialize.

Network Activity on the Rise

On-chain data also supports growing interest in Dogecoin. According to IntoTheBlock, Dogecoin’s network activity recorded a sharp increase during the week of November 4, 2024, with a total of 145.86K addresses. 

This figure includes 34.93K new addresses and 79.36K active addresses, marking increases of 102.40% and 111.32%, respectively, over the past seven days. The number of zero-balance addresses also grew by 155.29%, suggesting that some wallets were emptied, possibly due to asset transfers or profit-taking.

Source: IntoTheBlock

Dogecoin’s combination of increased on-chain activity, historical patterns, and technical consolidation points to the possibility of a major move ahead. 

FAQs:

What triggered the recent movement of 5.8 billion DOGE?

Increased market activity and investor engagement caused dormant tokens to become active.

What price levels are analysts forecasting for Dogecoin?

Near-term targets are $0.739, with long-term projections between $3 and $15.

What are Dogecoin’s key technical levels to watch?

Resistance sits at $0.42, with support at $0.38 on the daily chart.