The number of Dogecoin whales has increased significantly, with large holders increasing their holdings by more than 2 billion DOGE in the past two weeks, indicating growing confidence.
DOGE’s daily trading volume has also doubled to over $700 million, with analysts predicting a major bull run in the future.
The overall cryptocurrency market showed a strong recovery on Monday following last week’s bearish run in October. The memecoin space has performed well so far today, with Dogecoin (DOGE) being the clear leader.
Earlier today, Dogecoin (DOGE) price surged nearly 7% to $0.115, with its market cap soaring to over $16.3 billion. Additionally, DOGE’s daily trading volume surged 100%, all the way to over $700 million.
Cryptocurrency analyst Ali Martinez believes that Dogecoin (DOGE) may be following a historical pattern. He noted that the cryptocurrency has a familiar tendency to break out of a multi-year descending triangle, experience a massive 200% rally, then experience a 60% retracement before entering a bull run. After the recent 65% pullback, Martinez believes that Dogecoin may be preparing for its next big rally.
On the other hand, whales are hoarding Dogecoin in large quantities. According to CNF, whales have added more than 2 billion Dogecoin to their fund pools in the past two weeks, indicating that the confidence of large holders in Dogecoin is increasing. Therefore, even if there is a sell-off in the future, the price of Dogecoin will not fall below its key support level.
Dogecoin (DOGE) Technical Chart Shows Strength
According to the technical chart and recent trends, Dogecoin price moves positively when it is above the 200 exponential moving average (EMA) and volume-weighted average price (VWAP). The last time Dogecoin held this position was in March this year, when its price surged 172%.
Currently, the price of Dogecoin is above the VWAP and just below the 200 EMA at $0.11725. The current price is around $0.1150. According to CNF, analysts said that if Dogecoin can close above the 200 EMA, it could trigger a significant price movement in the short term.
Dogecoin (DOGE) has established itself as a seminal meme coin, attracting a lot of public attention thanks to the support of high-profile figures such as Elon Musk. Historically, a single tweet from Musk has been enough to propel Dogecoin to new heights. However, recent trends suggest that his tweets have lost their impact, and despite Musk's continued efforts, Dogecoin has struggled to break through key resistance levels.
