Dogecoin (DOGE) Whales Waking Up

Dogecoin whales are finally waking up, as IntoTheBlock’s indicators suggest. With the return of buying power on the market, DOGE might receive a necessary boost.

The first chart shows DOGE/USDT on the daily time frame. DOGE is trading at around $0.1492, displaying a relatively stable consolidation pattern. The price is currently at several key moving averages:

• 50-day EMA: This is currently acting as a resistance level around $0.1652. A breakout above this level could signal the beginning of a bull market.

• 100-day EMA: This line is providing support around $0.1434, suggesting that DOGE has a cushion against further declines.

• 200-day EMA: At $0.1237, this serves as a significant long-term support level.

The volume profile does show some activity but not significant activity. The RSI is at 46, suggesting that DOGE is in a neutral zone, neither overbought nor oversold, which provides room for potential price movement in either direction.

Charts from IntoTheBlock provide some additional insights. Over the past month, there has been a notable increase in the number of large transactions, peaking at 1.86K transactions on May 14, 2024. This surge in large transactions indicates heightened activity from large holders or institutional investors.

The volume of these large transactions also saw a significant spike, reaching 11.55 billion DOGE on the same day. This increase in large transaction volume suggests substantial movement of DOGE tokens, likely reflecting strategic positioning by whales.

Bullish scenario: If the increased whale activity leads to substantial buying pressure, DOGE could break above the 50-day EMA at $0.1652, targeting higher resistance levels around $0.18 and $0.20.

Bearish scenario: Conversely, if the whales are offloading their holdings, DOGE could face selling pressure, leading to a test of support levels at $0.1434 (100-day EMA) and $0.1237 (200-day EMA).

About the author

Arman Shirinyan