Dogecoin whales are starting to increase their holdings in what is a general uptick in activity on the Dogecoin blockchain. According to the latest on-chain data, addresses with large Dogecoin balances saw a remarkable surge in their holdings, with an approximate 960% increase occurring within just 24 hours. This accumulation by large holders coincides with a critical moment for the meme-based cryptocurrency, as it recently managed to break through a persistent downward-sloping trendline.
Dogecoin Whales Add Millions To Their Stash
According to data from the IntoTheBlock dashboard, Dogecoin large holders (also known as whales) recently saw their holdings increase by a massive 446.9 million DOGE tokens on September 11. This data was revealed through the ‘Large Holders Inflow,’ a metric that tracks the number of DOGE tokens entering addresses holding at least 0.1% of the total circulation supply of Dogecoin. Particularly, this data shows that the large holders increased their inflow from 46.25 million to 493.15 million DOGE on Sept. 11.
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Furthermore, the netflow data shows a corresponding increase from -395.88 million DOGE on the previous day to 414.97 million DOGE on September 11. Netflow is determined by subtracting the outflows (tokens leaving addresses) from inflows (tokens entering addresses) over a given period. A positive netflow indicates that whales are accumulating more Dogecoin, while negative values typically signal a selloff.
On the exchange front, IntoTheBlock data also shows a notable decline in the amount of DOGE held by wallet addresses linked to cryptocurrency exchanges. The ‘Aggregated Exchanges Netflow’ metric highlights a net outflow of -104.31 million DOGE over the past 24 hours and a total of -108.89 million DOGE across the last seven days. These negative figures suggest that more Dogecoin is being withdrawn from exchanges than is being deposited. This shift is significant because it marks a change in market sentiment, given that previous data pointed to heightened selling pressure from whale addresses.
DOGE Price Movement
At the time of writing, DOGE is trading at $0.1031 and is up by 0.69% in the past 24 hours. A recent rally means DOGE is now trading 15% above a low of $0.08969 which it traded at earlier in the week. According to an analysis by crypto analyst Javon Marks, this rally puts DOGE on a little breakout above the upper trendline in a multi-month falling wedge price formation.
However, the breakout is yet to be complete because DOGE bulls have found it hard to break above $0.104 for over three days now. In his analysis, he predicts that a successful breakout would likely result in a substantial 100% price increase that will drive DOGE up to around $0.22. From there, the stage could be set for an even larger bullish move for a major target of $0.6533.
$DOGE (Dogecoin) looks to be working on a multi-month Falling Wedge breakout and a successful break can lead into a more than double (>100%) in price back to the $0.22 areas.
Larger $0.6533 target is maintained. pic.twitter.com/mGcpNWU2WC
— JAVON⚡️MARKS (@JavonTM1) September 9, 2024
Featured image created with Dall.E, chart from Tradingview.com
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