Biyingjie News reported:
DOGE’s price has surged significantly in the past 24 hours as traders view the recent dip as a buying opportunity. Against the backdrop of the latest market-wide downturn, Dogecoin (DOGE) experienced the most significant drop in the 30-day market value to realized value (MVRV) ratio. However, this is no longer the case as of press time. In fact, there has been a notable shift in the past 24 hours, with DOGE also showing signs of a rebound.
Analyzing the MVRV of the meme coin
According to Santiment data, Dogecoin’s MVRV dropped the most among nine assets. In fact, the 30-MVRV hit a low of -19.7% on the chart. This metric compares an asset’s market value to its realized value, indicating a significant decline in DOGE’s valuation. Compared to the average purchase price over the past month, the price has fallen. Typically, this can be seen as a sign of potential undervaluation or that the asset may be oversold.
DOGE’s MVRV in the past 24 hours
However, in the past 24 hours, the aforementioned metric has reversed significantly, with DOGE’s MVRV ratio climbing to about 13.6%. This positive change could be a sign of valuation recovery, possibly driven by continued buying interest. Traders and investors might be taking advantage of perceived low prices, indicating renewed confidence in the asset’s potential value growth.
Slight recovery of Dogecoin
Finally, AMBCrypto’s recent analysis of Dogecoin showed its price had slightly increased over the past 24 hours. On June 5, DOGE was trading at around $0.105, an increase of about 0.6%. At the time of writing, it was trading at around $0.107, reflecting a more significant increase of over 2%. Additionally, the meme coin’s Relative Strength Index (RSI), a key indicator measuring market momentum, also recorded a significant finding. The RSI had previously fallen below 30, indicating DOGE was in an oversold state, usually considered a strong bearish trend.
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However, as of press time, the RSI was slightly above this critical threshold, indicating a slight rebound on the chart. The RSI’s movement may suggest that although Dogecoin still shows signs of a bearish trend, there has been a subtle shift toward recovery, especially with overall buying interest on the rise. This can ease some of the downward pressure on its price
