Dogecoin Drops 3% Amid Whale Sell-Off, Bullish Pattern Emerges

Dogecoin (DOGE) has experienced a 3% decline over the past week, currently trading at $0.2205. This downturn follows a period of strong price increases and above-average trading volumes, indicating a potential easing of selling pressure and a favorable environment for a bullish price prediction in the near term.

Data from Santiment reveals that Dogecoin whales have recently sold 170 million tokens, valued at over $40 million. This move, while significant, could be a strategic profit-taking maneuver following DOGE’s strong rally. Such actions often help stabilize the market by reducing extreme momentum levels, potentially paving the way for a more sustainable uptrend.

The latest price action has formed a bull flag pattern, which typically indicates a period of consolidation before a potential upward movement. If the price breaks above the upper bound of the flag, currently at $0.24, it could signal a continuation of the uptrend, potentially pushing DOGE to $0.35 in the near term. This pattern suggests that the whales' recent movements might have created an opportunity for late buyers to enter the market at more attractive prices.

Key support levels to watch include $0.18, where the second-best higher high lies. A bounce off this level would indicate that the uptrend remains intact, maintaining the token’s bullish price structure. Given the current momentum and Dogecoin’s growing utility and strong community backing, a move toward $1 becomes a more realistic long-term target, moving beyond its meme status.