Dogecoin’s 18% Price Correction: Why Whale Activity Might Signal a New Move

Dogecoin's Recent Dip Doesn't Deter Whales

October 2, 2024

Dogecoin's 18% decline from its recent high hasn't dampened whale activity.

Whale transactions surged to 1,203 on September 28th, the highest in seven months. Transactions exceeding $100,000 surged as well.

Despite the price drop, active addresses increased to 63,689 over three days, the highest since early April.

Surge in Whale Transactions and Active Addresses

Dogecoin saw a spike in whale activity in the lead-up to its recent price high. Transactions exceeding $100,000 reached a four-month high.

On September 28th, whale transactions reached a seven-month peak of 1,203. The high activity level suggests that whales remain interested in the asset, despite taking profits.

Whales Not Fully Divesting

Alongside the increase in whale transaction volume, the number of active addresses has also risen.

Over three days, 63,689 Doge addresses actively transferred coins, the most since early April. This indicates increased engagement, even as retail traders exit amid the price decline.

Investor Confidence in Dogecoin's Long-Term Prospects

The sustained whale activity on the Dogecoin network suggests that large investors are not fully exiting the asset following the price drop.

While some whales may have taken profits before the top, their ongoing participation indicates their belief in Dogecoin's long-term viability.

This consistent whale activity could signal another price surge for Dogecoin.

The combination of elevated address activity and whale transactions points to potential price fluctuations. Investors will likely continue to monitor the actions of whales and other major market players.