Dogecoin: up $10 million + transactions = Bullish signal.
Key indicators for Dogecoin (DOGE) suggest that a turnaround may be sooner than later especially because of the significant increase in transactions exceeding $10 million. This increase in high-value transactions indicates strong interest from whales who are positioning themselves ahead of expected price movements.
Last month, Dogecoin experienced a significant drop, losing roughly 25% of its value, and over the past 90 days, there has been a more notable 33% drop. However, amid these setbacks, analysts point to the market value to realized value (MVRV) ratio as a critical metric suggesting a potential reversal of the bullish trend. The MVRV ratio has recently fallen to around 15% over the past 30 days. Such a low ratio historically indicates that Dogecoin is undervalued, which often precedes significant price spikes.
Historical data further supports this pattern by illustrating instances where Dogecoin's price has risen after similar drops in the MVRV ratio. For example, earlier this year, a sharp decline in the ratio preceded an 80 percent increase in Dogecoin's price within two days. This historical precedent lends weight to the current optimism about Dogecoin's potential recovery.
