Recently, Dogecoin has achieved remarkable growth with the strong support of strong on-chain activities. Its market value has exceeded 62 billion US dollars and its price has climbed to 0.44 US dollars, successfully consolidating its position as the largest meme coin by market value.
According to COINOTAG analysis, this amazing growth is not simply due to market speculation, but is actually the deep participation and strong support of the Dogecoin community. The significant increase in the number of active addresses demonstrates the vitality of its network and lays a solid foundation for its soaring market value.
Market performance: recovery and bullish signals
Looking back at the past few weeks, Dogecoin's market performance has been amazing. Since the price gradually rose from below $0.10 in October, it has started a strong recovery and now trades at around $0.44.
Key technical indicators are signaling bullishness: the 50-day moving average is holding steady at $0.26, providing important support, and the 200-day moving average is at $0.15, which serves as a longer-term benchmark. The significant widening of the gap between the two clearly indicates that the market's bullish momentum is continuing to build.
The current value of the relative strength index (RSI) is 62. Although it has eased from the rapid surge in early November, it still indicates that it has the potential to rise further. Investors need to focus on key price levels, with $0.50 as the immediate resistance level and $0.40 and $0.35 as important support levels.
These technical indicators will act as a compass, guiding its possible subsequent consolidation or breakthrough. As the market value fluctuates with the price, although it has recently fallen slightly to about US$61.3 billion, this further highlights the extreme importance of paying close attention to changes in investor sentiment.
Network growth: strong indicators show vitality
Dogecoin's on-chain indicators also show a strong development trend. In November, the transaction volume skyrocketed, breaking the $10 billion mark for a time, and then stabilized in early December, maintaining at around $2.44 billion. This data fully demonstrates the high enthusiasm of the market and strongly proves the good health of its network.
In addition, the number of active addresses on the Dogecoin network has grown significantly, reaching a peak of 9.23 million in November. This significant increase in participation profoundly demonstrates the growing enthusiasm for participation in the Dogecoin community, which means that the rise in its price is not just a short-term boost from speculative trading, but stems from the real growth and development of the network.
Outlook for December: Opportunities and challenges coexist
Looking ahead to December, Dogecoin is full of opportunities and challenges. If it can successfully break through the key resistance level of $0.50, with the continued expansion of market value and network activity, its price is expected to move towards $0.60 or even higher in mid-December. Such a trend is likely to attract more retail investors to enter the market, thus forming a virtuous feedback loop and further strengthening the upward momentum.
On the other hand, if the $0.40 support level fails to hold, the price could fall back to $0.35. The decline in trading volume and the number of active addresses will increase this risk. In addition, profit-taking by large holders ("whales") may also cause increased market volatility. The dynamic changes in the overall cryptocurrency market, especially the performance of Bitcoin, will have a profound impact on the future trend of Dogecoin.
