Dogecoin MVRV Returns to This Important Level — DOGE Price Rises 400% Before

The altcoin market is one of the segments most affected by the cryptocurrency industry due to the instability that has overshadowed the global financial market in the past few months. For example, Dogecoin — the largest meme coin by market capitalization — has lost over 55% of its value in the first quarter of 2025. However, things seem to be looking brighter for the DOGE token, as its price increased by nearly 15% over the past week. According to the latest on-chain observations, this recent price surge could just be the start of another advance for the meme coin in the coming weeks. Can DOGE continue to rise in price? In a post on April 26 on platform X, anonymous cryptocurrency analyst Cryptollica suggested that the price of Dogecoin may be preparing for a prolonged bullish phase in the coming weeks. This forecast is based on changes in MVRV metrics, which track the market capitalization of a coin relative to its actual capitalization. The MVRV ratio essentially indicates the value that investors hold ( market capitalization ) compared to the value they have spent ( actual capitalization ). Therefore, when the value of this metric is greater than 1, it means that many investors are in profit at that moment. Meanwhile, a value less than one implies that most of the market is in the negative. Therefore, a high MVRV ratio is often considered a peak price signal because investors tend to sell off their assets more when they are in profit. On the other hand, when this metric is below the threshold of "1", it indicates that the market may be hitting a bottom.

As observed in the chart above, the MVRV ratio of Dogecoin appears to be thickening around the "1" level. In addition to its on-chain significance, this level has proven to play a key role in several trend reversals seen in the past, with the price of DOGE bouncing back to new local highs whenever the MVRV ratio maintains around this mark. The price of Dogecoin skyrocketed by 1,900% and 2,200% in August 2017 and August 2020 when the MVRV rate was at its current level. The last time it was at this level in August 2024, the price of DOGE had increased by over 400% to surpass the $0.5 mark. Historically speaking, there is a possibility that the price of DOGE is preparing for a significant increase. Considering the improving market situation, a sustainable rally no longer seems impossible at this time. Dogecoin Price Overview After briefly reaching $0.19 early Saturday morning, April 19, the price of DOGE seems to have cooled off. As of the time of writing, the price of DOGE is hovering around $0.18, reflecting a 0.3% decrease in the past 24 hours.