Dogecoin whales have accumulated over $55 million worth of DOGE in the last 24 hours.
One whale sold SPX tokens for a $920,000 profit and reinvested $6.2 million to buy DOGE.
Dogecoin whales have seized the opportunity presented by the ongoing price correction, acquiring a massive 160 million DOGE in just 24 hours. Large holders are taking advantage of the dip, scooping up the meme coin at a significant discount.
According to Santiment, the wallets with a balance between 10,000,000 and 100,000,000 DOGE have added 19.91 billion DOGE to their totals. Market analyst Ali Martinez also noted this increase in accumulation, saying that the confidence in Dogecoin still remains high even after the correction.
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The 160 million DOGE, which is equivalent to around $56m, were bought at a 23% discount to how they were priced two days ago. If the stash had been bought earlier, it would have cost $69 million, which underlines the whales’ precision.
Whale Activity
For instance, one whale was able to sell 10.6 million SPX tokens for $920,000 and then use the money to purchase 13.95 million DOGE at $6.2 million. This move adds to the continuing trend of investors seeking to take advantage of Dogecoin as a profitable investment while its prices are low.
Analysts have pointed out that the accumulation is consistent with expectations of Dogecoin surging to new prices. Historical precedents have indicated that corrections lead to large bull markets. Historical bull markets have been followed by corrections, which happened before gains of 9,470% and 30,700%, respectively, suggesting that Dogecoin could reach such levels in the near future.
In the bull run of 2017, DOGE had some pullbacks of 40% and 84% before the price began an upward movement again. Such corrections are something that is needed for the sustainable growth and Martinez pointed out that a similar pattern might be expected in the current cycle.
DOGE’s Performance Versus Bitcoin
The weekly gain of Dogecoin is higher than the 17% gained by Bitcoin in the week to date, which indicates that the meme coin is capable of moving in isolation from Bitcoin. This bull cycle, DOGE, has often diverged from Bitcoin, showing strength from whales in the ecosystem.
Despite this, Dogecoin is still affected by Bitcoin’s performance in the wider market. To sustain a long-term rally DOGE needs to move in tandem with Bitcoin and this will enable stability within the highly volatile crypto market.
Dogecoin is trading at $0.3, a 7% decline in the past 24 hours. However, its performance over the last month remains impressive, with gains of 182%. Analysts predict that Dogecoin could surpass its all-time high of $0.7376 and potentially reach $1 by year-end. Some even suggest lofty targets of $2.4, $10, or more.
In the short term, the pattern of Dogecoin is still pointing towards further price movements. Martinez noted that a bull flag pattern has been formed, which if confirmed would lead to a 45% rise. This scenario can be possible only if DOGE holds the support at $0.35 and may rise to $0.56. The continuously high interest in cryptocurrency shows that investors still have high expectations of Dogecoin and its future appreciation.
