A cryptocurrency analyst has forecasted potential market movements for meme-based cryptocurrency Dogecoin DOGE/USD, citing on-chain data signaling an increase in new wallet addresses.
What Happened: Ali Martinez on Saturday shared his observation that there is an expansion in the network of Dogecoin. He said, “There’s a steady rise in the creation of new DOGE addresses, consistently reaching new highs.”
Martinez articulated the progress on his social media: “Dogecoin is experiencing a notable network expansion! […] This increase in network activity is a promising sign for DOGE as it lays the groundwork for a potential upward price action.”
At the time of writing, Dogecoin was trading at $0.093.
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Why It Matters: Martinez also gave his prediction on self-proclaimed ‘Dogecoin killer’ Shiba Inu SHIB/USD. He said, citing on-chain data, “Since November, there’s been a massive withdrawal of over 8 trillion SHIB from known crypto exchange wallets – that’s valued at approximately $88 million!”
For Bitcoin BTC/USD, the analyst has offered an indicator for those speculating a price correction: “Are you anticipating a #Bitcoin price correction? The first indicator would be a sustained close below $43,200.”
Should this specific level not hold, Bitcoin might see a depreciation towards $37,000, as per Martinez. However, he notes that if it maintains above the pivotal support level of $43,200, the momentum could favor those investing in Bitcoin, potentially propelling its value to $47,360.
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