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Dogecoin Whales Accumulate Millions, Could This Affect Token Value?
Dogecoin (DOGE), the largest memecoin by market capitalization, witnessed a increased whale activity on the last day. This comes as they collectively amass millions of DOGE. As a result, investors may try to recover all the losses recorded in the last few days.
The price of DOGE has dropped significantly over the past week, namely by 11.88% following the downturn in the global cryptocurrency market. The sharp drop triggered a wave of bearish sentiment across the market as investors began to lose faith in the token’s future. However, all of this could change as large investors are starting to show optimism with recent data on whale activity.
Whales accumulate 900 million DOGE
According to recent data from Santiment, a crypto intelligence tool, addresses containing between 10 and 100 million Dogecoins have collectively purchased over 900 million tokens (worth $129 million) in the past seven days. As a result, the value of the coin could have a positive impact as such staggering accumulations often trigger bullish movements in the market.
Source: Santimento
Subsequently, the total DOGE held by these whales amounts to 18 billion. While the market is currently down, whales are taking the opportunity to add to their holdings in anticipation of a potential rally for gains. Additionally, the 30-day MVRV of -7.4% for Dogecoin shows profitability, which could lead to more accumulation.
In the past, Dogecoin has rallied because rallies are often preceded by MVRVs of -5% to -13%. This leads to the designation of this region as an accumulation opportunity zone. Therefore, the data suggests that Dogecoin price may be ripe for a recovery.
Dogecoin (DOGE) Price Movement Amidst Whale Activity
Meanwhile, Dogecoin is currently going through a period of decline as its value has dropped significantly over the past 24 hours. Second data provided by CoinMarketCapDOGE is currently trading at $0.142, which represents a decline of 4.47% compared to the last day. Furthermore, its trading volume in the recorded period also saw a decline, falling by 19% to $957 million.
DOGE has traded between $0.1407 and $0.1498 over the past 24 hours, meaning a drop of 80.5% below its all-time high of $0.73 reached in May 2021. According to According to expert forecasts, the DOGE price could probably be the ideal place for a recovery in the coming days if it manages to break above the $0.15 support again. If this happens, it could pave the way for a bullish trajectory towards the $0.17 zone.