Dogecoin’s $0.74 Target: Moon Mission or Meme Mirage?

DOGE bulls are barking up the wrong tree—or is Elon’s favorite joke currency actually building a rocket to $0.74?

Price action analysis: The meme coin’s 2021 ATH of $0.73 remains the holy grail, but liquidity patterns suggest whales are playing hot potato with retail bags.

On-chain reality check: Network activity flatlines whenever Tesla stops tweeting about it—because nothing says ‘sound investment’ like a cryptocurrency propped up by shitposts.

Technical outlook: A clean break above $0.20 could trigger FOMO, but until then, treat this ‘target’ like a Wall Street analyst’s price prediction—entertaining fiction.

Dogecoin’s valuation is barking louder than its volume

No doubt, DOGE has muscled its way into the top 10 crypto assets, flexing a massive $26 billion market cap.

However, let’s be real – It’s more about that massive 150 billion token supply than any groundbreaking use cases. 

That’s not all either as Dogecoin’s Network Value to Transaction (NVT) ratio has shot up to a three-month high. This basically means its market cap is zooming past on-chain transactions.

Source: Glassnode

In other words, network activity remains sluggish, with both new and active addresses trailing below pre-election levels. 

To put it in perspective – During November’s breakout, new addresses soared past 100k as DOGE blasted through $0.40. Today? Just 12,629.

That makes DOGE’s recent relief rally look more like a speculative sugar rush, than a fundamentally-backed breakout.

Sure, Dogecoin is still rocking its “high-risk, high-reward” appeal but right now, DOGE seems to be running in circles. It’s chasing its own hype with no real FOMO spark.

Unless it convincingly breaks above $0.20 with solid volume, it is likely to remain structurally capped. Hence, the $0.74 target remains firmly in the realm of wishful thinking.

No supply shock in sight

Dogecoin, at the time of writing, was flashing red. Overvaluation alerts on one side and yet, Options volume just popped by 9.11%. 

In fact, derivatives Open Interest hit a monthly high of $1.87 billion too, with the crowd piling in like it’s 2021 all over again.

Source: Coinglass

This sets up a textbook case of blind greed. In the last 24 hours alone, $3.11 million worth of long positions got wiped clean.

Compounding the sell-side pressure, whale activity has significantly fallen too. Approximately 4,000 addresses holding over 10k DOGE pulled the plug, signaling reduced confidence among larger holders.

So, that $0.74 target? It’s more of a pipe dream than a future reality – At least until DOGE fixes its weak spots.