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A key indicator suggests a bullish long-term outlook for XRP and Dogecoin, despite a market-wide correction. This underappreciated indicator shows how old investment dollars are on average on a network and can reveal whether coins are growing more active or remaining inactive.
MDIA currently indicates that these assets are doing well. Over the last 60 weeks, the MDIA for Bitcoin has dropped by 31% to 439 days. The MDIA of XRP has decreased by 22% in just 14 weeks to 865 days, while Dogecoin has experienced the biggest decline, falling 31% in eight weeks to 370 days.
An indication of the reintroduction of older dormant coins into circulation is the decline in MDIA. This kind of increased network activity frequently corresponds with bullish trends, as demonstrated by the bull markets of 2017 and 2021. After its recent surge, the price of XRP is forming a descending channel that may serve as a phase of consolidation. Observe the crucial support levels of $2.20 and $1.90.
Although the MDIA reduction points to underlying strength, a break below these could result in further declines. There may be a new push toward $2.80 if XRP can recover $2.50, but short-term volatility is still likely. In contrast, DOGE recently entered a bearish technical signal by breaking below its ascending channel.
Nevertheless, the network's MDIA indicates notable coin movement, which is probably going to help with a recovery in the long run. Around $0.38 is the immediate support, while $0.31 serves as a more robust fallback. A recovery of $0.44, which serves as resistance, might force DOGE to resume its bullish trend.
Rising MDIA has historically coincided with the end of bull runs, whereas declining MDIA sustains longer market uptrends. The data indicates that DOGE and XRP are still essentially positioned for long-term growth despite the possibility of further short-term price swings. Active involvement from long-term holders increases these networks' overall resilience.