Dogecoin has made a strong comeback, reclaiming the crucial $0.1 support level with a solid 15% surge today. Meanwhile, the recovery comes after a massive sell-off by two major Dogecoin holders, who moved over 500 million Dogecoins to exchanges during a broader crypto market crash.
It is worth noting that the current market volatility has sparked discussions about the motives behind this whale activity.
Dogecoin surges despite massive sell-off of whale coin
Dogecoin, one of the leading meme coins, is making headlines once again. After experiencing a sharp drop that took it below $0.1, Dogecoin has rebounded, reclaiming this crucial support level with a remarkable 15% surge.
Meanwhile, this recovery comes on the heels of major sell-offs by two major Dogecoin holders.
commonly referred to as “whales,” have sold a total of over 500 million DOGE to exchanges. This massive transfer coincided with the recent cryptocurrency market crash, which contributed to increased volatility.
However, amid today’s surge, Whale Alert, a prominent on-chain transaction tracker, identified two large DOGE transactions. The first, involving a wallet marked “DU8gP….guBr5,” saw 370 million DOGE, worth an approximate $39.34 million, moved to Binance.
Meanwhile, a second whale, with the handle “DGyy2…RJ15g,” moved 137 million DOGE, worth around $13.9 million, to Robinhood. These large moves have sparked various speculations within the crypto community.
The motivations behind these massive sell-offs remain a matter of debate. Some analysts suggest that whales were engaging in panic selling, in response to the broader market downturn and in an attempt to minimize potential losses.
On the other hand, others claim that these large investors may have taken advantage of the opportunity to lock in profits, taking advantage of the recent price recovery and renewed momentum in the DOGE market.
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A look at price and performance
The timing of these whale activities has added fuel to the speculation fire. As cryptocurrency prices soar,
At a time when the market was experiencing a broader correction, the sale of over 500 million DOGE by major holders contributed to an already tense atmosphere.
As previously mentioned, the transfers coincided with a broader crypto market crash that sent Dogecoin to its lowest levels since late February. However, the coin’s ability to quickly recover and reclaim its $0.1 support underscores its resilience and the strong support from its community.
Cryptocurrency experts point out that such actions by whales often have a significant impact on market dynamics. Large transfers can lead to price swings and increased volatility, as in the recent DOGE scenario. However, Dogecoin’s recovery suggests that despite the pressures from the massive sell-off, there is still a strong base of support among retail and smaller investors, helping the meme coin quickly regain lost ground.
At the time of writing, Dogecoin is up 14.68% and trading at $0.1082, with its trading volume down by around 35% to $1.06 billion. Over the past 24 hours, the cryptocurrency has reached a low of $0.09415 and a high of $0.1092, reflecting the volatile market scenario.
Moreover, CoinGlass data showed that open interest in Dogecoin futures contracts rose by about 7% to $523.3 million, indicating increased market interest in the leading meme coin Dogecoin.
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