- Dogecoin experiences historic growth in the number of new wallet addresses, despite the recent 23% drop in its price.
- The popularity of Doginals and the development of DRC-20 tokens are believed to be driving this growth in DOGE adoption.
- Speculation arises about Dogecoin’s potential inclusion in X’s (formerly Twitter) payment system.
Dogecoin is going through historic moments. Amid a bearish phase for most cryptocurrencies, DOGE experienced unprecedented growth in the number of new wallet addresses created. According to the crypto analysis tool ‘Santiment’ on X, over 413,000 new addresses were generated in the last two weeks. This increase marks the fastest growth rate of the memecoin since its inception.
It is worth noting that this growth in the number of new addresses occurred despite the decrease in Dogecoin’s price since December 9, where a 23% decline was recorded. However, this increase in the metric suggests that user adoption remains high, sparking interest and speculation in the crypto community.
🐶 #Dogecoin's value is -23% since its top on Dec. 9th. But the #memecoin's wallets with >0 $DOGE coins has been growing at the fastest rate in the network's decade long history. 413.8K new wallets, mostly holding 0.001-1 $DOGE, have been added in 2 weeks. https://t.co/GjDghuB9H9 pic.twitter.com/l6Pv0KvkKW
— Santiment (@santimentfeed) February 6, 2024
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There are two possible factors that could be driving this extraordinary growth in DOGE adoption. On one hand, the popularity of Doginals and the development of DRC-20 tokens are mentioned. Doginals are inscriptions on the Dogecoin network, while DRC-20 tokens are fungible assets created from these inscriptions. This innovation could be attracting new users and increasing the utility of the cryptocurrency.
On the other hand, there is speculation that Dogecoin could be included in the payment segment of the X platform (formerly Twitter). This possibility has led to increased interest and price of DOGE. As investors anticipate the potential positive impact this integration would have on the adoption and utility of the cryptocurrency.
As for the price of the memecoin in the market, it currently stands at $0.07835, with a 3.23% decrease in the last seven days. However, from a technical point of view, the analysis of the 4-hour chart shows that Dogecoin has been operating in a narrow range between $0.077 and $0.080 since the end of January. Despite attempts by buyers to push the price, sellers have maintained control in most cases, triggering a bearish momentum in the market.