Dogecoin Whales Accumulate DOGE, Signaling a Potential Rebound to $0.48

Dogecoin whales holding between 10,000,000 and 100,000,000 DOGE have accumulated 410 million DOGE, valued at $140 million over the past week.

Dogecoin whales have been on a buying spree in recent times. As a result of this buying activity, Dogecoin’s large investors, or “whales,” have added 410 million DOGE to their holdings over the past week. This translates to roughly $140 million at current prices.

According to on-chain data, Dogecoin whales with holdings ranging from 10,000,000 to 100,000,000 DOGE now hold a total of 22.54 billion DOGE. This marks the highest level of holdings by this group of whales since February 2016.

When large holders increase their coin accumulation, it usually signifies their confidence in the asset’s near-term potential. This buying activity reduces the circulating supply of the asset, potentially leading to scarcity and driving up prices.

Moreover, whale accumulation like this tends to attract retail investors, amplifying demand and further supporting a bullish price trend.

In the case of Dogecoin, the recent spike in whale accumulation is likely due to the asset being valued in the “undervalued zone.” Readings from Dogecoin’s negative market value to realized value (MVRV) ratio suggest that the meme coin is currently undervalued, presenting a prime buying opportunity for those looking to trade against the market trend.

At the time of writing, the token’s one-day MVRV ratio is -1.76. This metric is used to gauge whether an asset is over or undervalued. It does this by comparing the asset’s market value to its realized value, which is the total acquisition cost of all coins in the circulating supply.

As you can see from the chart above, negative MVRV ratios, such as the one seen here, have historically served as a buying signal, indicating that the asset is being traded below its historical acquisition cost and may be due for a rebound. This makes sense intuitively, as investors would be more inclined to sell their holdings at a profit.

If we apply this logic to Dogecoin, it could indicate that those buying DOGE now are doing so because they believe the coin is set for a near-term price increase, presenting an opportunity to buy low and sell high.

DOGE Price Prediction: Accumulation Could Propel Coin to $0.48

On the daily chart, we can see that Dogecoin’s Chaikin Money Flow (CMF) reflects the rising accumulation, indicated by the momentum indicator’s positive slope. As of this writing, the CMF is in an upward trend at 0.03.

When an asset’s CMF is positive, it indicates buying pressure in the market, with more money flowing into the asset than out. This suggests strong investor confidence and is a bullish signal for price movement.

On the other hand, when an asset’s CMF is negative, it indicates that more money is flowing out of the asset than into it. This suggests that sellers are driving down the asset's price and is a bearish signal for price movement.

In this case, if Dogecoin whales continue their accumulation, it could drive the meme coin's price to $0.48. On the other hand, if selloffs resume, its price could fall to $0.29.