Dogecoin Whales Accumulate 100M Coins Amid Market Momentum
2min read Dogecoin (DOGE) is currently experiencing a period of consolidation, with its price fluctuating between a support level of $0.16 and a resistance zone of $0.19-$0.20. This price action is occurring amidst a broader cryptocurrency market that is showing renewed momentum, with Bitcoin maintaining its position above $90,000.
Recent on-chain data indicates that whales have accumulated approximately 100 million DOGE over the past week. This significant buying activity by large holders is often seen as a bullish indicator, suggesting growing confidence in the asset's future performance. Top analyst Ali Martinez highlighted this data, noting that such whale accumulation typically precedes price rallies, which could support a potential breakout if market conditions remain favorable.
Currently, Dogecoin is trading around $0.17-$0.18, hovering near critical resistance levels that have acted as strong barriers over recent weeks. Bulls are attempting to reclaim higher levels, particularly the $0.20 zone. A successful break above this resistance could trigger a recovery rally toward $0.25 and beyond. However, failure to break out could extend the current consolidation phase or potentially push the price back toward the $0.15 zone.
Technical analysis suggests that Dogecoin may have completed its pullback phase for this cycle. The meme cryptocurrency has established a solid base above important support levels, indicating underlying strength despite the current consolidation. Chart analysis shows that DOGE has persistently found support at previous swing highs, recently bouncing back from a key support zone to reach a high from a prior upswing, demonstrating resilience within current market conditions.
Based on the 3-day chart, technical analyst Trader Tardigrade believes that DOGE may have finished its pullback. As a result, he forecasts another sharp rally in the near term, which could push DOGE to a new all-time high in 2025. The last time DOGE entered a recovery phase, it resulted in a notable upward move in the form of a Rising Wedge formation. A similar pattern is currently unfolding on the 4-hour chart, hinting at an impending rally. Should past trends repeat, the cryptocurrency is expected to rally in the upcoming days, potentially reclaiming the $0.225 level as bulls generate enough demand to break above the 200-day exponential moving average (EMA).
Another technical analyst, Crypto Bullet, has identified what he calls a “Textbook Accumulation Cylinder” pattern on DOGE’s 3-day chart. This pattern suggests the potential for substantial price movement in the coming months. Based on this pattern formation, the meme coin could be positioned for a major price increase in the near future. The pattern hints at a possible surge to above $3.2, followed by a decline to $1.2 before rebounding to $2 again. However, for now, DOGE remains range-bound with indecision dominating the short-term outlook. The next major move will depend on whether bulls can generate enough momentum to break above key resistance levels.
For traders and investors watching DOGE, the $0.20 resistance remains the level to monitor. A clean break above it could validate the bullish outlook, while rejection might extend the current consolidation phase. Currently trading at $0.176, DOGE continues to hold above the $0.16 support level. To confirm a breakout and shift toward a recovery rally, the cryptocurrency must reclaim the $0.22 level, which aligns with the 200-day EMA. If bulls fail to defend the $0.16 support, the downside risk increases. A breakdown below this level could open the door to a deeper correction, potentially driving DOGE down into the $0.13-$0.10 region.
All eyes remain on whether Dogecoin can break out of its current trading range as whale accumulation continues and market sentiment improves. The future direction of DOGE remains uncertain, with analysts split on whether the cryptocurrency will experience a significant upward movement in the coming months. However, the current technical patterns and whale activity suggest a potential for a rally, making it a cryptocurrency to watch closely in the near term.
