Network Activity Surges 270% as Price Tests $0.16 Support

TLDR

• Active addresses on the Dogecoin network surged by 270% in the past 24 hours, reaching 264,000
• Dogecoin price has fallen 9% to around $0.17, testing support at $0.16
• Whales have accumulated 1.7 billion DOGE within 72 hours, suggesting possible rebound
• Analyst “TheGift94” identified key demand zones at $0.16 and $0.13
• Some analysts believe holding above $0.16 could trigger a rally toward much higher prices

Dogecoin’s price has dropped about 9% to $0.17 amid the broader cryptocurrency market correction. This decline comes despite a massive 270% increase in active addresses on the network over the past 24 hours, jumping from 71,750 to 264,000.

The popular meme cryptocurrency is currently testing key support levels. Analysts suggest that maintaining a position above the $0.16 threshold is vital for DOGE to sustain momentum and potentially fuel a rebound.

Trading volume for Dogecoin has surged 115% to more than $2.01 billion. At the same time, open interest has decreased by 12.91% to $1.45 billion, while 24-hour liquidations have reached $21 million according to Coinglass data.

Whale activity on the Dogecoin network has increased. The largest whales have reportedly accumulated 1.7 billion DOGE over the past 72 hours, suggesting major players might be positioning themselves for an upcoming move.

This massive accumulation by large holders comes at a time when Dogecoin wallet addresses have reached an all-time high. The increase in wallet numbers points to growing interest in the meme coin despite the recent price drop.

Technical Analysis

Crypto analyst Ali Martinez highlighted Dogecoin’s approach to the lower boundary of its current price channel. He previously stated that if bulls manage to hold above the DOGE support levels of $0.16, it could trigger a rally toward much higher prices.

#Dogecoin $DOGE is nearing a crucial support level at the lower boundary of this channel. Holding above $0.16 could fuel a strong rebound! pic.twitter.com/foCUdbnTFZ

— Ali (@ali_charts) March 9, 2025

Pseudonymous analyst “TheGift94” outlined potential demand zones where DOGE might stabilize during this selling pressure. In a recent TradingView analysis, the analyst identified three “buying demand zones” critical to the meme coin’s price movement.

The first support zone at $0.20 was breached as Dogecoin’s price fell by 13% yesterday, closing at $0.1678. Two additional zones at $0.16 and $0.13 are now being monitored as potential turning points for DOGE.

Another analyst, MMBTtrader, shared a more bearish outlook. This analyst suggested Dogecoin could breach all three aforementioned supports and drop to $0.08131, a price level last seen in August.

MMBTtrader noted that the over 53% dump could happen after Dogecoin lost major daily support at $0.185. However, the analyst predicted that the meme coin would eventually pump from the global support at $0.08131 to reclaim $0.40.

Dogecoin has experienced four consecutive negative daily candles. The cryptocurrency has corrected 30% over the previous week, following the broader market pattern.

Bitcoin recently rebounded slightly after dipping to $80,000 last week, moving the broader crypto market with it. Today’s 2% surge has seen Dogecoin show similar momentum, bouncing from $0.1656 yesterday.

Some market watchers maintain a bullish long-term price outlook for Dogecoin despite the current downturn. Various analyses suggest that DOGE still has potential to reach much higher price points before the end of this bull cycle.

Dogecoin is trading at $0.1728 with a market cap of $25 billion as of press time. The cryptocurrency remains one of the largest meme coins by market capitalization despite its recent price decline.