Dogecoin transactions cross new high since July: What about DOGE?

• Dogecoin processed 1.93 million transactions for the first time since July.
• The press time market conditions suggested growing favorability and potential for further gains.

According to IntoTheBlock, Dogecoin processed 1.93 million transactions the previous week, marking the highest weekly transaction count since early July.

The last two months have witnessed a decline in transaction count. Over this period, the memecoin’s price charts have also struggled to surge.

However, the past week saw DOGE hit a high of $0.108, which was accompanied by a spike in transactions.

This increase in the transaction means a promising future for the Dogecoin network, although it remains below February peak levels.

In context, an increase in transaction count suggests that Dogecoin’s network is actively utilized, which further strengthens its network fundamentals.

Thus, the growing activity reflects increased adoption or renewed interest in Dogecoin as a payment method or for its ease of use in transactions.

Source: X

Where will DOGE go next?

Since the increase in transaction count shows increased demand and adoption for DOGE and its potential growth — on-chain data agrees.

Source: Santiment

For example, Dogecoin’s Funding Rate aggregated by exchange has been mostly positive during this period. A positive Funding Rate aggregated by exchange indicated that long position holders were paying for short holders.

When an asset is like this, it shows increased investor confidence with the future potential.

Source: Coinglass

This phenomenon is further supported by a positive OI-Weighted Funding Rate. A positive OI-Weighted Funding Rate suggests the market has a higher demand for long positions than short ones.

This suggests a positive market sentiment.

Source: IntoTheBlock

Finally, the past week has seen whales increase their DOGE holdings. As of this writing, whales held 65.29 billion tokens, a 41.67% while retail traders hold 37%.

Read Dogecoin’s [DOGE] Price Prediction 2024–2025

A higher holding by whales results in market stability, as they rarely sell based on news of FUD. This also shows the market is gearing up for a positive future.

Also, DOGE’s rising transaction count surge suggested growing demand and adoption for the memecoin. If the current market conditions hold, Dogecoin will challenge the $0.11 resistance level in the short term.