In 10 days, 60,000 new holders have emerged, and Dogecoin's price is about to break through
As Bitcoin breaks the $100,000 mark again, the overall altcoin market is gradually warming up, and many users are concerned about Dogecoin's trends. After all, as the pioneer of memes, it has always received a lot of attention. Recently, Dogecoin's on-chain data has been very impressive, with an increase of 60,000 new holders in the past two weeks, bringing the total number of holders to 6.68 million.
This wave of activity has made many people feel that Dogecoin might be up to something again, especially after a similar situation last time when the price soared from $0.10 to $0.47. The current question is whether this surge in holders will truly act as a catalyst for a price breakthrough, or if we are about to see another round of decline?
A rapid increase in the number of holders is usually regarded as a bullish signal, especially for a meme coin like Dogecoin, where retail enthusiasm often drives up prices. However, historical data tells us that this situation can also be a double-edged sword. Last time, from November 22 to early December, the number of Dogecoin holders dropped from 7.14 million to 6.8 million, and the price fell from $0.47 to $0.39. This was likely triggered by a large number of old players taking profits and exiting.
From a technical perspective, Dogecoin's daily chart shows a very typical bullish flag pattern. This formation usually indicates a brief consolidation period after a sharp price increase, followed by a continued breakout upwards. Currently, Dogecoin's price is hovering near the lower edge of this flag pattern, and once it breaks the upper edge, it may surge directly to $0.60, or even challenge $1.
But don't celebrate too early; if the price cannot hold the lower edge of the flag's support, it could drop to around $0.33. Therefore, for impulsive friends, it's important to pay attention to risk control.
At this point, market sentiment is actually quite complex. On the one hand, the increase in new holders, coupled with supportive on-chain data, seems very favorable for short-term gains; on the other hand, the volatility of a coin like Dogecoin has always been high, and even a slight disturbance can lead to significant fluctuations. For those who are optimistic about Dogecoin in the long term, observing whether the price breaks through the key level of $0.42 is advisable. If it breaks through, this could be a signal to increase positions.
