- Dogecoin whales add $44 million, sparking potential price surge.
- Whales control 11 billion DOGE, signaling strong market confidence.
- Increased trading volume hints at a possible upcoming Dogecoin rally.
Dogecoin whales have made a massive purchase, acquiring 158 million DOGE, valued at $44 million. The purchases were made at an average price of $0.28, and most of these buys came from wallets holding between 1 million and 10 million DOGE.
Consequently, these heavy investors currently possess over 11 billion DOGE in aggregate, and one wonders where the price of the cryptocurrency will be heading.
There is nothing incidental about the time this accumulation takes place. In the last couple of weeks, Dogecoin has gained over 35%, increasing its price by approximately $0.22 early in August to $0.299 in the middle of September.
This price increase added more than $9 billion to Dogecoin’s market cap, which indicates that the whales’ purchase action might have been a significant trigger to the surge.
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Whale Activity Suggests More Gains Ahead for Dogecoin
Wallets holding between 1 million and 10 million DOGE have been particularly active in recent days, adding a combined 260 million DOGE to their holdings. On August 25, these wallets controlled around 10.77 billion DOGE, and by September 18, their holdings had grown to 11.03 billion DOGE.
The trend in this accumulation is similar to other changes in the past when the participation of large investors significantly influenced the price movements.
Further, the level of trading has also shot up, with daily trading volume averaging approximately $450 million in late August. Nevertheless, the volumes were almost twice in the September rally, nearly reaching $1 billion. This is a sharp upsurge in trading activity, which is a good indication that these whale movements are affecting the larger market.
In the past, other whale actions have been a significant contributor to Dogecoin price increases. By 2021, when DOGE spiked between $0.05 and $0.73, wallets with 1 million and 10 million DOGE were steadily increasing. The current buying spree suggests that these investors see value in Dogecoin at prices below $0.30, which could point to a potential price surge in the near future.
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