Dogecoin Whales Accumulate 140 Million DOGE Worth $56 Million as Price Skyrockets 88%

Over the past week, DOGE's performance has been impeccable, with its value skyrocketing by more than 88%. This allowed the memecoin to climb above the $0.42-mark for a short duration.

Dogecoin [DOGE] noted a massive surge in its price last week, and this uptrend was accompanied by a noteworthy development. Data from crypto-verse showed that Dogecoin whales went on a shopping spree.

Over the past week, DOGE managed to register a more than 88% surge in its value. This brought the memecoin above the $0.42 mark for a brief period. However, it noted a slight pullback after touching the $0.43 level.

Whales took the opportunity to stockpile the memecoin as DOGE’s price started dropping. Ali, a popular crypto analyst, took to Twitter to highlight this development.

According to the tweet, DOGE whales purchased 140 million DOGE in the last 24 hours, which was valued at approximately $56 million. This large-scale accumulation signaled whales’ confidence in the memecoin.

But that’s not all. The hike in whale accumulation was also accompanied by an increase in the number of large holders. Data from IntoTheBlock showed that the number of addresses holding DOGE in the range of $10k-$100k and $100k-$1M increased by over 140% and 199%, respectively. Furthermore, DOGE addresses holding more than $10M also surged by 155% in the last 30 days.

Source: IntoTheBlock

Is trouble brewing?

This latest round of whale accumulation helped turn DOGE’s daily chart green once again. However, this push from the big boys might not be enough for DOGE to continue its uptrend.

Trading volume for DOGE declined sharply in the last few days. A decrease in the metric usually indicates a high chance of the prevailing price trend changing.

In this case, it was also interesting to note that Dogecoin’s MVRV ratio also decreased despite the latest price surge. The metric had a value of 27.9% at press time. When the MVRV ratio decreases, it suggests that short-term holders can make money in the market, while long-term holders are usually losing money.

Source: Santiment

Additionally, a glance at Coinglass’ data revealed another worrying metric.

The long/short ratio for Dogecoin decreased in the last few hours, indicating that there were more short positions in the market than long positions, which hinted at a price decline. If the trend reverses, DOGE may first see a slight pullback to $0.371.

However, if the price continues to rise, the memecoin may encounter resistance once again at the $0.42 level. As previously reported by AMBCrypto, breaking out above that resistance could lead to a double-digit price rally.

Source: Coinglass