Dogecoin Whales Are Selling: Here’s What It Means For DOGE Price
Dogecoin Whales Are Dumping: What Does It Mean For DOGE Price?
Dogecoin (DOGE) recently enjoyed a welcome bounce, climbing above the $0.10 mark after a period of struggle around $0.09. This price action has naturally attracted attention from investors, particularly the infamous Dogecoin whales.
Recent data from IntoTheBlock reveals that these large players are actively moving billions of DOGE between their wallets. While the sheer volume of transactions might suggest renewed interest, a closer look at the net flow tells a different story.
Dogecoin Whale Transactions: A Closer Look
IntoTheBlock tracks transactions worth $100,000 or more, providing insights into the activity of Dogecoin whales. While the number of these large transactions has dipped slightly from the previous week, it remains remarkably high. Over the past two days, the average number of whale transactions has hovered around 800, indicating sustained interest from these major players.
Interestingly, while the number of transactions decreased between Sunday and Monday, the amount of DOGE moved actually increased. On Monday, 5.19 billion DOGE were shifted, compared to 4.59 billion DOGE on Sunday, translating to a staggering $522.89 million and $499.99 million, respectively. This translates to an average of $500 million moved by whales daily.
Whale Outflows Suggest Selling Pressure
The real story lies in the net flow of DOGE within whale wallets, which tracks the inflows and outflows of coins. This data provides valuable insights into whether whales are accumulating or offloading their DOGE holdings.
Recent data shows a concerning trend: inflows into whale wallets have declined significantly while outflows have surged. Inflows dropped from 37.4 million DOGE on Sunday to a paltry 115.11 million DOGE on Monday. This indicates that whales are not actively buying DOGE at this time.
Adding to this bearish signal, outflows soared from 18.37 million DOGE on Sunday to a substantial 107.71 million DOGE on Monday. This outflow trend strongly suggests that Dogecoin whales are selling rather than buying, potentially contributing to the selling pressure that has made it difficult for DOGE to reclaim the $0.10 mark.
Long-Term Holders Remain Optimistic
Despite the recent selling pressure, it’s worth noting that a vast majority of DOGE holders are long-term believers. Data reveals that 3.93 million addresses have held their DOGE coins for more than a year, and another 2.2 million addresses have held for between 1 and 12 months. This suggests that the majority of DOGE holders remain committed to the project, despite the recent market volatility.
The net flow data, while currently showing a bearish trend, remains relatively flat, suggesting that the selling pressure might not be overly intense. However, the combination of declining inflows and surging outflows from whale wallets is a red flag, indicating that these major players are not currently bullish on DOGE. As the DOGE price attempts to recover, the ongoing whale activity will be a key factor to watch closely.