Dogecoin (DOGE) is currently experiencing a surge in price, reaching $0.16 amidst a broader recovery in the cryptocurrency market. Over the past 24 hours, DOGE's price has risen by over 5%, outpacing the overall market, which saw an increase of approximately 3.63%. This surge follows a similar trend in Bitcoin (BTC), which has witnessed an 8.34% ascent in the last two days, leading to positive market sentiment.

One potential reason behind Dogecoin's recent rally is its open interest-weighted funding rate, which has turned positive after dipping into negative territory on May 1 and 2. This shift indicates a growing interest in long positions, often observed after significant price movements. Additionally, the recent drop in DOGE's open interest marked its lowest level since October 2023, suggesting the potential for sustained recovery, as seen in the 126% rise in price since October.

Another bullish signal for Dogecoin is the increase in network growth, as evidenced by a rise in the number of active and new addresses interacting with the blockchain. According to data from IntoTheBlock, active and new DOGE addresses have surged by 21.65% and 74.47%, respectively, over the past week. This growth in network activity reflects growing investor interest in Dogecoin, further supporting its ongoing recovery.

Furthermore, the surge in trading volume over the last 12 hours indicates renewed investor interest and activity around Dogecoin. Spot trading volume has spiked by 25%, reaching $1.15 billion, with exchanges like Binance, OKX, and Bybit witnessing significant participation. This increase in trading volume suggests that traders are closely monitoring Dogecoin's price movements, indicating a resurgence in interest and potential market momentum.