Dogecoin [DOGE] has led the meme coin sector's recovery in recent weeks. In fact, it rose 77% in July, making it the largest gainer among the top three meme coins by market capitalization. Furthermore, on-chain indicators show that network activity has been increasing over the past month.
Daily active addresses saw a significant spike in mid-May and June. These spikes marked local tops and bottoms in the market. Over the past month, the daily active address metric has been slowly rising but has not reached concerning high levels. The number of transactions has followed a similar trend—showing an upward trend in July, but without signs of market capitulation or local price peak bubble bursts.
Since May, Dogecoin's 365-day issuance has been rising slightly. This may be a sign of increasing adoption, with old holders taking profits, but new market participants are also entering the market. Hence, the question arises: does Dogecoin's price trend align with indicators suggesting further increases for Dogecoin?
Dogecoin July and August Price Prediction
Since March, the range pattern (in white) has extended from $0.142 to $0.25. The range high was broken on July 20 (Sunday). For most of the past 12 days, trading volume has been significantly above average, helping Dogecoin break through the key resistance level of $0.25.
Breaking the range high and the width of the range indicates that the current upward momentum for Dogecoin should at least reach $0.33. As of the time of writing, Dogecoin is testing the $0.285 resistance level, which has been in place since February.
Above, the next key resistance level is marked in yellow. The psychological resistance level at $0.4 could pose significant resistance for Dogecoin, especially considering that this resistance level is situated on an important horizontal line during the period from November 2024 to January 2025.
In the next month or two, Dogecoin's price prediction is strongly bullish, based on the range breakout, with a target price of $0.357. In the short term, a pullback to $0.25 or $0.26 would provide a good buying opportunity for swing traders.
