Have Traders Moved Past Dogecoin? Transactions Plunge 98% Since June

Data shows that Dogecoin transactions have dropped more than 98% since June, a sign that investors have lost interest in the meme coin.

Dogecoin 7-Day Transaction Count Has Dropped To Just 37,300

According to data from the market intelligence platform IntoTheBlock, activity on the DOGE network has really slowed down recently. The metric of interest here is the total number of transactions that the Dogecoin blockchain is observing every day.

When this indicator has a high value, it means that the investors are making a large amount of moves on the network right now. Such a trend implies that the holders have an active interest in trading the cryptocurrency.

On the other hand, low values imply the blockchain is only seeing a few daily transfers, which can be a sign that traders have no interest in using the meme coin currently.

Now, here is a chart that shows the trend in the 7-day average number of daily Dogecoin transactions over the past few months:

Looks like the 7-day average value of the metric has been heading down in recent days | Source: IntoTheBlock on X

As displayed in the above graph, the Dogecoin blockchain observed a high amount of transaction activity during July and the first half of August.

As the second half of August kicked off, however, the indicator’s value saw a steep decline. The reason behind this sharp drop is likely to be the crash that the price of the meme coin saw at about the same time.

Before this crash, DOGE had been trading above the $0.076 mark, but after it, the asset plummeted toward the low $0.06 level. Till now, the coin hasn’t been able to recover from this plunge.

Rather, the memecoin’s situation has only become more dire recently, as its price has registered some drawdown even below these lows. From the chart, it’s visible that the transactions on the network have seen a similar fate, as they have dropped to pretty low levels now.

At present, the 7-day average number of daily transactions on the Dogecoin blockchain stands at 37,300, which is quite the plunge compared to the 616,000 spike seen in July.

The current levels are even worse when looking at a longer timespan, as IntoTheBlock notes that the asset had been enjoying 2.1 million 7-day average daily transfers just back in June.

Compared to this high in June, the network activity today has declined by more than 98%, which is a staggering figure. It would appear that almost no one wants to use Dogecoin right now, at least compared to the high interest the coin had seen a few months back.

Historically, rallies have been backed by a high amount of user activity, but as transfers have shown no signs of any recovery recently, it’s not surprising that the meme coin’s price hasn’t been able to display any momentum, either.

DOGE Price

Dogecoin has seen more bearish price action in the past few days as the asset’s value has now dropped below the $0.058 level.

DOGE appears to have plunged recently | Source: DOGEUSD on TradingView

Featured image from iStock.com, charts from TradingView.com, IntoTheBlock.com