Daily DOGE transactions soar 8,820% in May; Here’s why

As bulls and bears continue to fight for domination of the cryptocurrency market, the price of Dogecoin (DOGE) has been no exception. However, the dog-themed meme crypto asset has recently achieved impressive results in a different field – the number of daily transactions.

Specifically, daily transactions of Dogecoin have seen a whopping 8,220% increase in May, from around 25,000 to a peak of 2.08 million on May 27, according to the information shared by the cryptocurrency analytics platform IntoTheBlock on May 31.

Additionally, on top of its transaction volume recording a new all-time high (ATH), this was the first time in 14 years that Dogecoin outperformed the peak transaction volume of the flagship decentralized finance (DeFi) asset – Bitcoin (BTC).  

What is driving the growth?

Notably, such tremendous results in DOGE network activity seem to stem from the rapidly increasing trend of minting digital assets with a DRC-20 standard on the Dogecoin blockchain, in combination with the network’s low transaction fees.

Indeed, following the popularity of the BRC-20 tokens on the Bitcoin chain, the DOGE community has implemented a similar model that allows the minting and trading of assets on the Dogecoin chain, similar in function to ERC-20 tokens on the Ethereum (ETH) network.

Dogecoin price analysis

Meanwhile, the price of Dogecoin has not yet reflected the massive growth in daily transaction volume, having dropped by 0.16% in the last 24 hours and 8.84% over the previous month, whereas, across the past seven days, its price has increased by 1.72%, and currently stands at $0.07155.

It is also worth noting that several finance experts have earlier shared their opinion on the price of Dogecoin by the end of this year, with their projections ranging from $0.08 to $0.1, as Finbold reported on May 18.

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