- Whale accumulation of 530M DOGE signals confidence despite recent market volatility.
- DOGE holds strong at $0.1853 support, with potential for a breakout if buying persists.
- Market trends and whale activity will decide whether DOGE rallies or faces a pullback.
Dogecoin witnessed an increase in awakening the whale, and 530 million DOGE were bought within 72 hours. Investors are still willing to invest in the digital asset even with the difficulties that have characterized its prices in the past few days. Analyst Ali pointed out that this accumulation occurred at a critical support level of DOGE.
DOGE Price Sees Recovery
As of press time, DOGE is trading at $0.2041, which has risen by 10.26% in the last 24 hours. The lowest price was $0.1853, which was seen at the end of February, sitting at the apex of the market accumulation by whales. This implies that the large holders will likely accumulate Dogecoins at lower price levels and wait for a price recovery. Strong support may hold higher potential and might help in making a bounce back and avoid further deterioration in the price.
If whales continue accumulating at this rate, DOGE may remain trading within this range or trend upwards. More buying at support levels means that price returns back up as big players buy up supply. However, if these large holders decide to sell, Doge is likely to face the same selling pressure, which may lower the price of Dogecoin.
Key Support Levels Hold
Martinez also noted that Dogecoin trades above a significant support level of $0.1853. If this level holds, DOGE can potentially advance toward higher resistance. On the other hand, if the market becomes bearish, consolidating at those levels could mean a decrease to a lower level.
Source: Ali
The overall cryptocurrency market trends also affect the trading of Dogecoin. Bitcoin has displayed bullish and bearish characteristics in the last few days, affecting sentiment towards other altcoins. If the crypto market regains its strength and starts recovering, DOGE will follow the trend, while a decline in large tokens will have a negative effect.
Related: Shiba Inu Burns 389M Tokens: Is a Breakout on the Horizon?
Short-term trends can indicate a certain volatility, although investors’ general outlook remains positive. Some traders attributed the rise of Dogecoin to the fact that large investors have started accumulating the token. If demand increases and selling pressure remains low, the DOGE price could be eyeing a higher move. The next several weeks will define whether this accumulation phase will lead to an outbreak or another period of consolidation.
