Dogecoin (DOGE) is seeing a big comeback lately, with more people using the network and traders betting on it in the futures market. This buzz is making some people wonder if Dogecoin’s price is about to kick off another big rally.
Massive Jump in Dogecoin Activity
According to data from Glassnode, the number of active Dogecoin addresses jumped from about 62,000 on May 7 to over 674,000 on May 14. That’s a massive 990% surge in just one week, showing more people are using Dogecoin and sending it around.
And it’s not just wallets seeing action. Futures trading for Dogecoin has also shot up. In the same week, the amount of money locked up in Dogecoin futures grew from about $989 million to $1.65 billion — a jump of over 66%.
Why Is This Happening?
One reason is that Coinbase, one of the biggest crypto exchanges, plans to launch something called “cbDOGE,” which is a wrapped version of Dogecoin. Wrapped tokens let you use Dogecoin on other blockchains — in this case, on Base, which is Coinbase’s new network built on Ethereum.
Coinbase already did something similar with Bitcoin: its wrapped Bitcoin (cbBTC) reached a market value of $1 billion in just under two months. If the same excitement builds around cbDOGE, Dogecoin could see even more demand as people start using it in DeFi (decentralized finance) apps.
Analysts Spot Familiar Patterns
A well-known crypto market watcher, Galaxy, said this could be the start of Dogecoin’s “third bull cycle.” Historically, Dogecoin has had these big surges where it goes from being ignored to suddenly being the hottest thing around. In past bull runs, DOGE got huge boosts from celebrity shout-outs, especially from Elon Musk.
For example, in 2021, Musk tweeted memes and called Dogecoin “the people’s crypto,” helping to send its price up over 500% in a month! But these days, Musk’s tweets have less influence, so it’s really up to the Dogecoin community and market interest to keep the hype going.
What’s Next?
If Coinbase rolls out cbDOGE successfully, it could bring more ways to use Dogecoin and help its price climb again. It’s a sign that Dogecoin is becoming more than just a meme coin — it’s getting serious infrastructure support that could keep it relevant for years to come.
Of course, there are still risks. The overall market is volatile, and Dogecoin has a history of wild price swings. So if you’re thinking about investing, make sure to do your own research and understand the ups and downs.
For now, Dogecoin fans are hopeful that this spike in activity and trading interest will set the stage for another big breakout — just like it has done in the past.
