- Demand for DOGE has decreased.
- This led to prices trading within a certain range.
Demand for Dogecoin [DOGE] Bitcoin prices fell last week, according to on-chain data. The decline in DOGE’s network activity has caused the price to fluctuate within a tight range, forming a horizontal channel.
During the period under review, the price of DOGE fell by 1%, while other major meme assets increased in value.
for example, CoinMarketCap According to the data, the price of Shiba Inu has increased by 1.5% in the past 7 days. [SHIB]Pepe [PEPE]Dogwif Hat [WIF]Bonk [BONK] They increased by 9%, 14%, 35% and 30%, respectively.
DOGE remains range bound
according to IntoTheBlock According to the data, the daily number of addresses completing transactions related to DOGE has fallen by 18% over the past seven days.
Similarly, new demand for the meme coin has also declined: According to the same data provider, the number of new addresses created to trade DOGE fell by 21% during the study period.
Source: IntoTheBlock
A decrease in an asset’s daily active addresses and addresses suggests a decrease in overall trading volume related to that asset.
according to Santiment According to the data, DOGE’s daily trading volume peaked at $3.01 billion on May 24 and has since fallen 53%.
The coin’s drop in trading volume last week is partly due to the ongoing negative sentiment towards DOGE at the moment.
In fact, on May 24, weighted sentiment plummeted to its lowest level since the start of the year, -1.56.
At the time of writing, DOGE has a weighted sentiment of -0.35, confirming the negative bias surrounding the leading meme coin.
Source: Santiment
When an asset price moves within a certain range, buying and selling pressure is balanced and neither bulls nor bears are able to induce a trend in their own direction.
The readings of DOGE’s key momentum indicators support this: the Relative Strength Index (RSI) was at 53.52 and the Money Flow Index (MFI) was at 55.72 at the time of writing.
DOGE/USDT chart. Source: TradingView
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Taken together, both indicators suggest that neither the bulls (buyers) nor the bears (sellers) are firmly in control.
That means the buying and selling volumes were balanced, with no significant advantage on either side.
