According to U.Today, recent blockchain activity indicates a surge in Dogecoin (DOGE) transactions, suggesting growing optimism among market participants. Notably, the whale netflow benchmark from IntoTheBlock shows a significant increase in DOGE flowing into the addresses of large holders, rising from 25.06 million tokens to 369.46 million tokens over the reviewed period. This data suggests that big investors, or whales, who hold over 0.1% of the coins in circulation, are buying more Dogecoin than they are selling. This influx of new money is typically seen as a positive indicator for the asset's price.
Further analysis reveals that spikes in net inflow often coincide with market lows, indicating increased buying pressure during periods of price weakness. On-chain data also shows an uptick in accumulation by large investors, with addresses adding 462.33 million DOGE to their wallets and increasing their overall trading activity. Outflows have risen from 22.31 million to 92.87 million DOGE, suggesting heightened involvement by significant market players who may believe in the asset's future performance.
This surge in whale activity aligns with renewed interest in Dogecoin, partly sparked by Elon Musk's recent social media engagement. While correlation does not imply causation, the timing of these events is noteworthy.
