The popular dog-themed cryptocurrency Dogecoin (DOGE) has seen a notable increase in activity over the past 24 hours. According to data from CoinMarketCap, there has been a 35% increase in trading volume over these 24 hours.

In addition to the spike in trading volume, data from IntoTheBlock has a increase in activity among DOGE addresses. More specifically, the number of daily active addresses, which represents the total number of unique addresses involved in transactions on a given day, recently rose to 55,440. Interestingly, this is the highest number of daily active DOGE addresses within a 30-day period.

Dogecoin Sees 32% Spike in Active Addresses

The daily active addresses on DOGE have increased over the past week, indicating higher on-chain transaction activity. This increase in on-chain activity has also been accompanied by an increase in the number of new addresses created on the DOGE blockchain. Notably, the daily active addresses reached 55,440 over the weekend, which is a 32% increase from the 42,000 active addresses recorded the previous day.

However, it is important to note that while the number of daily active addresses has since declined slightly from its peak, the overall trend remains positive. According to data from At IntoTheBlock there is an 11.41% increase in the number of new addresses and a 6.22% increase in the total number of active addresses compared to the same period last week.

What does this mean for DOGE?

This increase in activity reflects growing interest and participation in the Dogecoin network. As more users transact, this could potentially contribute to a price increaseThe increase in new addresses also indicates positive sentiment surrounding DOGE, suggesting that not only are existing users becoming more active, but that new participants are also joining the Dogecoin ecosystem, also contributing to the overall increase in on-chain activity.

Data from CoinMarketCap shows a 35% increase in daily trading volume. Such an increase in volume indicates that more Dogecoins have changed hands in the past 24 hours. It is important to note that this increase in trading volume could just as well be due to sell-offs on exchanges as it could be due to buying pressure.

However, IntoTheBlock reports a cumulative negative net inflow of $14.5 million worth of DOGE to exchanges over the past seven days. Notably, this suggests that more DOGE tokens have been transferred from exchanges to private wallets than have been sent to exchanges for sale, reflecting continued bullish sentiment from some DOGE traders.

However, the bullish sentiment has yet to be reflected in DOGE’s price. At the time of writing, DOGE is trading at $0.1002. DOGE had initially surged as high as $0.104 yesterday, but reversed course and is now down 1.93% in the last 24 hours. This suggests that the increase in trading volume is a combination of earlier buying pressure that later turned into a minor sell-off.

Main image from iStock, chart from Tradingview.com