Dogecoin’s Low Social Activity Could Be a Buying Signal

The Dogecoin (DOGE) market has been on a downtrend for a while now. Despite surging by over 300% throughout 2024, the OG meme coin struggled to keep up this year. The asset started 2024 on a rather challenging note as it dipped by nearly 5% since the beginning of January. Along with its price DOGE’s social activity also plummeted. The chatter around the meme coin seems to be depleting but analysts reveal that this might be bullish.

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Dogecoin Endures Massive Dip

During the time of writing, Dogecoin was trading at $0.3344. This comes after a staggering 5% dip over the past 24 hours. The latest drop pushed DOGE further away from its all-time high of $0.7376. The meme coin is currently 54% below this peak.

The trading volume of the asset also recorded a drop. Dogecoin’s 24-hour volume was at $3.72 billion after witnessing a 36% plunge.

According to prominent firm Santiment, a drop in social media posts and general attitude toward Dogecoin may indicate a moment for traders to purchase. Dogecoin had a “bearish” audience sentiment rating of 1 out of 5 from the study firm, which is far lower than XRP and Solana’s scores of 4 out of 5.

Speaking about the asset’s situation, Santiment said,

“Crypto’s top meme coin has been extremely quiet outside of a temporary run-up at the beginning of the year (coinciding with Elon Musk’s brief handle change to ‘Kekius Maximus’). Crowd sentiment has been near its lowest point over the past year, meaning there is actually some nice upside to be a daring contrarian toward DOGE (in particular) if crypto markets begin to trend upward again.”

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Weekend Price Prediction

Recent data from CoinCodex reveals that Dogecoin will witness a positive weekend. The meme coin is expected to trade at a high of $0.3405 on Saturday, which is January 11, and on Sunday, DOGE will be priced at $0.3377. While this may not be a drastic surge for the coin, it is still pertinent to the overall growth of Dogecoin.

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