Whale Accumulation Propels Dogecoin (DOGE) on a Bullish Recovery Streak

Dogecoin (DOGE) has been on a bullish recovery streak, propelled by a wave of large whale accumulation. In the last two weeks, affluent investors have increased their DOGE buying

Dogecoin (CRYPTO: DOGE) has been on a surprising run recently, and large investors, often referred to as whales, are playing a key role in this unexpected rally.

After a period of downturn, DOGE has seen a 32.53% rebound from its recent lows, largely driven by increased buying activity from whales. In the last two weeks, these large investors have plowed an additional 200 million DOGE, valued at about $38.7 million, into the memecoin.

This capital injection comes as a vote of confidence in DOGE, especially considering the coin had touched yearly lows of $0.146 recently. However, following this dip, whale activity has ramped up, suggesting they saw an opportunity to buy low.

On-chain data from IntoTheBlock shows that large investors collectively own over 41% of the total Dogecoin supply, highlighting the significant role whales play in the ecosystem.

Moreover, on-chain data from IntoTheBlock on Tuesday also showed that large transactions, those worth over $100,000, have risen by 41.12% within the last 24 hours. This surge in large transactions indicates heightened activity and confidence from whales in the market.

Further bolstering bullish sentiment, Coinglass data indicates that more than 71% of leading trader accounts, those with the largest margin balances, have gone long on DOGE. This is another indication of expectations of additional price appreciation amidst renewed investor interest.

Another key indicator of Dogecoin’s rising speculative interest is the open interest (OI) spike. During the past week, DOGE’s OI is up by 7.88% to a three-week high of $1.98 billion. The rise reflects that traders are aggressively placing leveraged wagers on further price movement, which is propelling the rally.

Dogecoin: A Comeback Story

The memecoin’s surprising recovery comes amid broader efforts to expand the coin’s use case beyond that of a successful meme-driven asset, possibly enhancing its longevity and popularity in the digital payments space.

Recently, there was also an initiative to launch a 10 million DOGE reserve to fund its use in real-world payments.

At the time of writing, Dogecoin is trading at $0.2014, a 9.96% increase over the last 24 hours. Despite its recent resurrection! DOGE remains 38% down year-to-date, indicating that while momentum is strong, the road to full recovery is still not without its obstacles.

As whale activity remains high and investor sentiment is boosted, the world waits to find out what DOGE does next. Will the memecoin keep its bullish run going and reclaim higher price levels, or will volatility in the markets have other plans? The coming weeks will be crucial in determining whether Dogecoin’s recent surge is the beginning of a sustained uptrend or just another temporary spike in its ever-volatile journey.See More: Top Cryptocurrency News Today: Bitcoin Drops As US Fed Minutes Show No Immediate Rate Cuts

This article has been written using material from Benzinga.