Dogecoin price has noted recovery today, regaining the crucial $0.1 support, despite a massive selloff by the DOGE whales to exchanges. Will there be a further dip?
Dogecoin has staged a comeback, recovering its crucial $0.1 support level with a solid 15% rally today. Meanwhile, this recovery follows a substantial selloff by two major Dogecoin holders, who transferred over 500 million DOGE to exchanges during a broader crypto market crash.
Notably, the current market volatility has sparked debates about the motivations behind this whale activity.
Dogecoin Rallies Despite Massive Whale Selloff
Dogecoin, one of the leading meme coins, is once again making headlines. After experiencing a sharp drop that pushed it below the $0.1 mark, Dogecoin has rebounded, reclaiming this crucial support level with a notable 15% rise.
Meanwhile, this recovery comes on the heels of a significant selloff by two major Dogecoin holders, commonly referred to as “whales,” who offloaded a combined total of over 500 million DOGE to exchanges. This massive transfer coincided with the recent crypto market crash, contributing to the heightened volatility.
However, amid today’s rally, Whale Alert, a prominent on-chain transaction tracker, identified two large DOGE transactions. The first, involving a wallet labeled “DU8gP….guBr5,” saw 370 million DOGE, valued at approximately $39.34 million, moved to Binance.
Meanwhile, a second whale, with the address “DGyy2…RJ15g,” transferred 137 million DOGE, worth around $13.9 million, to Robinhood. These substantial movements have sparked various speculations within the crypto community.
The motivations behind these significant selloffs remain a topic of debate. Some analysts suggest that the whales were engaging in panic selling, reacting to the broader market downturn and seeking to minimize potential losses.
On the other hand, others argue that these large-scale investors might have seized the opportunity to book profits, capitalizing on the recent price recovery and the renewed momentum in the DOGE market.
A Look At The Price & Performance
The timing of these whale activities has added fuel to the speculative fire. As the cryptocurrency market grappled with a wider correction, the sale of over 500 million DOGE by major holders contributed to the already tense atmosphere.
As said earlier, the transfers coincided with a broader crypto market crash, leading to Dogecoin’s decline to its lowest point since late February. However, the coin’s ability to bounce back quickly and regain its $0.1 support underscores its resilience and the strong backing from its community.
Crypto experts note that such whale actions often have a significant impact on market dynamics. Large transfers can lead to price fluctuations and heightened volatility, as seen in the recent DOGE scenario. Yet, Dogecoin’s recovery suggests that despite the pressure from substantial selloffs, there remains a robust support base among retail and smaller investors, helping the meme coin regain lost ground quickly.
During writing, Dogecoin price rallied 14.68% and exchanged hands at $0.1082, with its trading volume falling nearly 35% to $1.06 billion. Over the last 24 hours, the crypto has touched a low of $0.09415 and a high of $0.1092, reflecting the volatile scenario in the market.
Furthermore, CoinGlass data showed Dogecoin Futures Open Interest rose nearly 7% to $523.3 million. This indicates a heightened market interest in the leading dog-themed meme coin.
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