Dogecoin Whales Exit: Total Supply Plunges By Almost 9%

Dogecoin Whales Reduce Holdings, Signaling Potential Bearish Sentiment

Market intelligence provider IntoTheBlock reveals that Dogecoin whales have significantly reduced their holdings over the past year. These whales, defined as addresses possessing over 1% of the circulating supply, are considered to have considerable influence on the network.

As depicted in the following chart, the percentage of the Dogecoin supply held by whales has declined over the past year:

Whales' Share of Total Supply Decreases
Source: IntoTheBlock

The chart indicates that a year ago, whales held approximately 45.3% of the supply. Today, that share has dwindled to around 41.3%, representing a 9% reduction.

According to IntoTheBlock, "In contrast, retail and mid-sized investors now hold a larger share of the total supply." Retail investors are defined as entities holding less than 0.1% of the supply, while investors hold between 0.1% and 1%. Currently, investors control 21% of the supply, and retail investors hold 37%.

The decline in whale holdings suggests a waning interest in Dogecoin from large investors, potentially indicating bearish sentiment for its price. However, the redistribution of the supply to smaller holders could promote the health of the DOGE ecosystem by reducing its centralization.

In a separate update, IntoTheBlock analyzed activity on the Dogecoin blockchain, comparing it to other meme-based cryptocurrencies.

Memecoin Activity Metrics
Source: IntoTheBlock

The chart on the left shows the number of traders for each asset, while the chart on the right displays the number of transactions. Dogecoin remains the top-performing memecoin in both metrics.

Interestingly, Degen (DEGEN), despite its market cap being only 0.79% of Dogecoin's, ranks second in these metrics.

Dogecoin Price

Over the past week, Dogecoin has experienced a decline of more than 11%, with its current price around $0.122.

Dogecoin Price Trend
Source: TradingView

Featured image from Dall-E, IntoTheBlock.com. Chart from TradingView.com.