Dogecoin Whales Harvest Tokens Amidst Price Fluctuations

Whales Show Interest in DOGE

Despite Dogecoin's price dip from $0.1686 to $0.1423, DOGE holders are seizing the opportunity to accumulate more tokens. On May 6th, Dogecoin's value surged past the $0.168 mark, bringing profitability to 5.21 million addresses. However, a slight correction occurred on May 7th. Notably, on-chain analytics from Santiment revealed that significant DOGE investors have added roughly 265.86 million DOGE to their wallets during this drop.

Accumulation Boosts Holdings

Santiment reported that certain DOGE addresses, holding 100 million to 1 billion tokens, saw their collective shares increase by 1% on May 7th, escalating to 21% of the total supply. This cohort's holding spiked by 265.86 million DOGE, valued at around $41.2 million, marking a distinct increase compared to the 342 million DOGE outflow from big holders a day earlier. Such active accumulation, including substantial transfers like the 120 million DOGE ($18 million worth) from Robinhood, suggests that certain whales remain bullish and anticipate future price increases for Dogecoin.

Impact on Dogecoin's Market

Whale actions and their market sentiment play a vital role, especially for meme tokens like Dogecoin, which thrive on hype rather than utility demand. With DOGE trading at $0.1516, the recent price rebound from $0.143 indicates that the bullish accumulation may be influencing its value positively. Looking ahead, this trend might propel Dogecoin past resistance levels toward new monthly highs, and potentially beyond its current record, if accompanied by other bullish conditions. Conversely, a bearish turn could lead to a decline towards $0.13 support. Currently, Dogecoin trades above $0.15.