Dogecoin (DOGE) has emerged as one of the best-performing assets this month amidst a broader market rally. Over the past day alone, the OG meme coin has surpassed $0.4, reclaiming levels not seen since 2021 after surging nearly 50%.
With weekly gains now exceeding 150%, Dogecoin has climbed to the sixth position in the crypto rankings, signaling a renewed wave of interest from retail investors.
Retail Interest Drives Dogecoin
According to IntoTheBlock’s latest analysis, Dogecoin processed more than 6 million transactions last week, the highest activity since February. This spike suggests that retail interest has made a quiet but steady return to the market. The surge in transactions also hinted that the meme coin momentum is far from fading.
Santiment also pointed to the increased Dogecoin’s network activity. In the last four weeks, there has been a surge of 74,885 new wallets holding less than 100,000 DOGE, indicating growing interest from smaller retail investors. This influx reflects a broader trend of retail traders returning to the meme coin, potentially driven by the recent rise in its price.
However, while retail wallets have increased, larger wallets held by “sharks” and “whales” – typically considered key stakeholders in price movement – have decreased by a net count of 350. Interestingly, 108 of these larger wallets have re-entered the network in recent days, which may have helped fuel Dogecoin’s breakout above $0.4.
For sustained momentum, the crypto analytic platform stated that it would be ideal to see both retail investors and large holders continuing to accumulate Dogecoin in tandem, as their combined influence could drive stronger market support for the asset.
Over the coming days, the activity of these “sharks” and “whales” will be especially important in assessing whether the meme coin’s current rally has the potential to maintain its upward trajectory or if a shift in accumulation behavior could change the outlook.
Dogecoin’s Wild Ride
Dogecoin’s ongoing rally can largely be attributed to the optimistic sentiment stemming from Elon Musk’s endorsement during the Trump campaign, with the latter’s victory serving as the initial catalyst. This upward price action has motivated some crypto traders to target $1 for Dogecoin – a key milestone that’s been on the radar since the token exceeded $0.7 in 2021.
The $1 level is a psychologically important benchmark, with “doge to $1” memes gaining renewed traction. Adding to the optimism, a “golden cross” on the weekly chart hinted at a strong outlook for Q4. Some analysts see targets of $2 to $4 as realistic this cycle, while others even forecast Dogecoin reaching $30 by March 2025.
