Dogecoin Whales Accumulate Over $100M Worth of DOGE: Will a Bull Run Follow?

Dogecoin Whales Accumulate $100M, Signaling Potential Price Impact

Data from Santiment reveals that Dogecoin (DOGE) whales holding between 100 million and 1 billion coins have been actively accumulating since May 28th. Collectively, these whales have acquired over $100 million worth of DOGE.

As a result, the supply of DOGE held by this group has increased from 20.69% to 21.40%, as evidenced by their address balances. This surge in buying activity suggests positive implications for DOGE's price.

Whales Accumulate $100M: Potential Price Impact

The accumulation by Dogecoin whales signals increasing demand for the coin, potentially driving a price increase. Currently, DOGE is trading at $0.15, exhibiting sideways movement over the past week.

The uptick in whale accumulation indicates a potential reversal in DOGE's trajectory. If sustained, the cryptocurrency could break out, aiming to surpass $0.20, as it did in March.

However, for this bullish scenario to materialize, DOGE requires validation from other metrics, such as Mean Coin Age (MCA) and circulation supply.

On-Chain Metrics and Price Potential

From early April to May 29th, the 90-day MCA showed an increasing trend, indicating sell-offs by long-term holders. Over the past three days, however, the MCA has declined, suggesting increased holder self-custody.

If this trend continues, it could potentially initiate a bullish move for DOGE. Additionally, on-chain data indicates a decrease in the number of circulating Dogecoins, suggesting reduced selling pressure.

While low selling pressure does not guarantee a breakout, a combination of signals from multiple metrics suggests a looming rally. Currently, 83% of DOGE holders are in profit, according to IntoTheBlock. This percentage could rise significantly if DOGE begins an upward trajectory, potentially reaching 90% if and when a breakout occurs.

Disclaimer: This article provides information only and should not be construed as legal, tax, investment, financial, or other advice.