The well-known cryptocurrency inspired by memes, Dogecoin ($DOGE), has been experiencing a surge in on-chain activity of late. This has meant new attention from both traders and long-term investors. Santiment, a firm that tracks cryptocurrency metrics, reports that the number of daily active addresses on the Dogecoin network has surged by an eye-catching 400% to almost 395,000. This impressive increase has led to some conversations about whether Dogecoin is in the process of making a comeback. #Dogecoin $DOGE on fire! On-chain data from @santimentfeed shows that active addresses skyrocketed 400% to nearly 395,000. pic.twitter.com/5WuDKjx64K — Ali (@ali_charts) March 15, 2025 Although the performance of Dogecoin during the last few months has been largely determined by the overall meme coin environment—which has cooled since its summer highs—recent price action and on-chain metrics suggest that the Dogecoin still has plenty of upside potential for investors. Reclaiming Support: Dogecoin’s Recovery and Market Potential Dogecoin has reclaimed the support of its seven-month trendline, an important technical indicator that has many traders watching closely. This could signal a turnaround for the meme currency—if not a full-on pump, then at least a moment of price stabilization after a prolonged descent. Currently, Dogecoin is priced at about $0.061, down roughly 75% from its all-time high of $0.731 that it achieved in the fourth quarter of 2021. What is especially noteworthy is that Dogecoin has recovered its trendline support, even though it is down considerably from its all-time high. This is a strong indication that, despite the turbulence it has faced, the coin is holding a lot of value right where it is at present. For many, this begs the question: Is now a good time to start acquiring $DOGE tokens for a long-term hold? $DOGE has reclaimed its 7-month trendline support. It's down 75% from its Q4 peak and has almost erased Trump's win gain. I think now is the right time to start bidding on DOGE for the long-term. Memecoin hype is dead which makes DOGE look even better from an investment… pic.twitter.com/XQA7iZ1BJD — Cas Abbé (@cas_abbe) March 15, 2025 Some analysts see the subsiding memecoin frenzy as a positive development for Dogecoin. They believe that the end of the speculative rush may allow for stabilization in the value of Dogecoin, giving it more room to grow in a less volatile, more sustainable environment. With much of the hype surrounding memecoins dissipating, they see the future price movements of Dogecoin as being less susceptible to the kind of erratic fluctuations driven by social media trends and celebrity endorsements that have historically made it look, to some investors, like more of a traditional investment. The Role of Memecoins and the Dogecoin Narrative Dogecoin, first created as a joke in 2013, has long been connected to the craze for cryptocurrencies that are aligned with Internet memes. At the peak of the memecoin boom, Dogecoin was inarguably one of the top memecoins, especially because it had the backing of such high-profile figures as Elon Musk, who was frequently mentioning the coin in his tweets. This led to some pretty wild price movements, again inarguably connected to Musk’s involvement, and at one point, when the meme market was absolutely going off, Dogecoin attained an all-time high. Nevertheless, when the speculative craze surrounding meme tokens seemed to be winding down, many of these coins, Dogecoin included, were taking steep falls in value. At the top, $DOGE had not just reached but had been said to have “soared to nearly $0.75,” and not just fell back but “shed most of its gains” when it returned to the bottom. Despite this steep decline, a loyal community still follows Dogecoin. That community turns to the Dogecoin Twitter account for the latest news. And while it’s not quite exclusive, Dogecoin’s community still advocates for its use as a “medium of exchange and store of value.” Can you believe these people? A blessing in disguise might be coming for Dogecoin as the memecoin loss of hype moves ever closer. With the market turning away from tokens that can only hope to be part of the next meme, we might just be moving toward a time when the only coins that get bought are those with signs of actual utility or long-term potential. By those measures, Dogecoin should survive in style. Dogecoin’s Long-Term Investment Prospects Though the meme coin fervor driving Dogecoin to great heights may now be over, this could provide an opportune moment for discerning investors to purchase what might be an undervalued asset. As $DOGE seeks to establish itself within the market, retaking key levels of support and enjoying a not-insignificant increase in activity, the cryptocurrency seems on track to carve out a more stable and sustainable price path going forward. Additionally, Dogecoin remains an asset in the crypto sphere because of its market cap, community, and recognition. It stands apart from many other cryptocurrencies for its widespread acknowledgment and ease of use, despite its seemingly basic functionality. Its loyal community makes it all the more endearing; Dogecoin may not be your typical crypto, but it has so many friends that one can hardly consider it an underdog. Those who believe in Dogecoin’s potential are still out there, as the spike in active addresses seems to show. We’ve seen that in the last few weeks, with a large number of traders and investors seemingly not caring about the memecoin label and instead treating Dogecoin as something that could potentially be a long-term hold. This uptick in interest could be what drives Dogecoin’s price back up, since it seems like a sizable number of people now view the asset as something that could rebound. Is Now the Right Time to Bid on $DOGE? If you are thinking about moving into Dogecoin, the current market conditions present a compelling case. Even though the coin has substantially declined from its Q4 2024–peak, $DOGE’s recent trendline support suggests that the Dogecoin might be stabilizing and have future growth potential as market conditions improve. As the hype around memecoins dissipates, Dogecoin’s fundamentals—an active community, an established presence in the crypto ecosystem, and strong on-chain data—emerge as significant factors in its possible resurgence. Even though the crypto market is still in flux, Dogecoin’s recent performance and on-chain metrics give a pretty positive outlook for the future. If you’re a long-term investor looking to diversify with a familiar asset that has a lot of potential to appreciate, $DOGE might be one of the best bets you can make right now. We don’t know if it will ever reclaim the heights it reached in 2021 or if it will establish some new baseline, but in talking with people who follow it closely, the best seems yet to come. Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any service. Follow us on Twitter @nulltxnews to stay updated with the latest Crypto, NFT, AI, Cybersecurity, Distributed Computing, and Metaverse news !
