Whales have been buying large amounts of Dogecoin recently, worth nearly $300 million this week.
A huge amount of Dogecoin (90 million DOGE) was moved out of Robinhood by a whale on 30 May
Despite being stagnant in the short term, Dogecoin is up 16% over the past month and most holders are in profit.
Crypto analysts are predicting a massive rally for Dogecoin soon, and Dogecoin's price seems to be finding support around $0.1598
There have been calls for a Dogecoin rally for months now, with nothing ever happening—not from charting signals alone, anyway.
This time around, Dogecoin has charting signals AND whale activities to back up an incoming pump, and there have been reports from all over the market about massive Dogecoin purchases from the whales.
This week alone, the whales have raked in nearly $300 million worth of the “memecoin king”—Almost like they expect the cryptocurrency to make a move soon.
In this article, we go over some of the most recent whale movements, and why Dogecoin might be poised for an upward rally.
On Friday this week, crypto analyst and trader, Ali Martinez took to Twitter to share something interesting about the memecoin.
According to Martinez, the Dogecoin whales bought over 700 million $DOGE between Tuesday and Friday, worth around $112 million.
Dogecoin spree in the last 72 hours
Why would the whales coordinate this buying craze so randomly, anyone would wonder.
Moreover, on Thursday, Whale Alert reported an anonymous wallet moving a staggering 90,000,000 DOGE (worth around 14,289,391 USD) out of Robinhood.
Dogecoin's Whales on Robinhood
This is considering how according to the company's Q1 update, users hold more Dogecoin ($7.36 billion) than Ethereum's ($5.63 billion).
According to data from CoinMarketCap, Dogecoin has been rather stagnant over the last week, moving to the underside by 0.07%.
Dogecoin’s price
However, on the monthly timeframe, Dogecoin is up by around 16%, indicating that there is a great deal of underlying strength in the cryptocurrency.
Insights from IntoTheBlock also show that a majority of the memecoin's holders (about 83% of them) are currently sitting on unrealized profit, compared to a meagre 13% out of profit.
Dogecoin’s tokenomics
While this might be a risky outlook for Dogecoin when it comes to a selloff scenario, it also means that the cryptocurrency is highly resilient and that its holders are increasingly refusing to sell.
Moreover, around 67% of the token’s holders have been holding for more than a year, with a staggering $2.51 billion worth of Dogecoin transacted in the last week.
The whales aren’t the only ones who think a parabolic rally is incoming for Dogecoin soon.
Kaleo, for example, a crypto analyst expects Dogecoin to spend a few more days or weeks grinding higher at a slow pace—before “sending”.
Dogecoin’s price action before the send
For context, "sending", among crypto enthusiasts and traders is a word for describing an almost vertical rally on a cryptocurrency, in which its price goes up rapidly and in very little time.
“Current PA looks incredibly similar to the Spring of '21 after it had its first initial send from sub-one cents to ten cents,” the analyst says “If you don't think the king of memes eventually sends during the meme supercycle, you're crazy.”
Dogecoin is a short-term rebound
In the short term, we can see that Dogecoin seems to have found support on top of the ascending trendline above.
This line coincides with the $0.1598 support level and means that Dogecoin might be entering a rebound phase from here.
As long as we don’t see a decisive break below $0.1598, of course.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.