XRP News Today: DOGE Drops 8% Amid Heavy Selling But Institutional Buyers Accumulate 310M Tokens

Dogecoin (DOGE) experienced an 8% decline on July 29, 2025, falling from $0.22 to $0.21 amid heightened selling pressure and record trading volumes. Despite the sharp drop, on-chain data revealed that institutional investors had accumulated approximately 310 million DOGE tokens during the same period, suggesting continued long-term confidence in the asset [1]. The price action unfolded over a 23-hour session that ended at 2:00 AM on August 1, with trading volumes peaking at 1.25 billion tokens—nearly triple the 24-hour average—indicating intense market activity as the cryptocurrency tested critical support levels [1].

The decline was accompanied by a significant selloff during the evening of July 31, with DOGE fluctuating within a tight three-cent range between a high of $0.23 and a low of $0.20. Resistance at the $0.23 level held firm, while the price briefly dipped to $0.20 before stabilizing at $0.21. Technical analysts noted that the repeated bounce off the $0.21 level pointed to potential accumulation, with institutional buying reinforcing the idea that this price point could serve as a key support level [1].

Among the major institutional buyers was Bit Origin, which added 40 million DOGE tokens to its corporate treasury as part of a broader $500 million diversification program [1]. This move underscores growing corporate interest in cryptocurrencies, with companies increasingly allocating portions of their capital to alternative assets. The institutional buying contrasted sharply with the retail selloff, highlighting a divergence in market sentiment between different participant categories [1].

The price drop also triggered cascading sell orders across leveraged positions, particularly during the final hours of trading, as forced liquidations accelerated downward pressure. However, volume normalized during the final hour, with DOGE posting a modest 1% gain between 1:08 AM and 2:07 AM on August 1 [1]. This narrowing of price bands and the stabilization of the $0.21 support level suggest a potential exhaustion of immediate selling pressure and the possibility of base formation.

Broader market conditions also played a role in the volatility, with other cryptocurrencies such as XRP experiencing declines. XRP fell below $3 on July 28, dropping 8% after encountering resistance [2]. However, DOGE’s price action was distinct due to the presence of large-scale accumulation, which analysts interpreted as a sign of strategic buying rather than bearish sentiment [1].

While short-term uncertainty persists, the accumulation of 310 million DOGE tokens—representing a significant portion of the circulating supply—signals that institutional actors are positioning themselves for future price stability or upside potential. Institutional involvement has become a defining trend in the cryptocurrency market, influencing investor behavior and broader market dynamics [1].

The current trajectory highlights the evolving complexity of cryptocurrency trading, where short-term volatility is increasingly accompanied by structural shifts in investor composition and strategy. As institutional participation continues to grow, the actions of these large participants are expected to play a crucial role in shaping the future of DOGE and other major digital assets [1].

Source:

[1] DOGE Suffers 8% Drop but Signs of Institutional Accumulation at 21 Cents

https://www.coindesk.com/markets/2025/08/01/doge-suffers-8-drop-but-signs-of-institutional-accumulation-at-21-cents

[2] XRP Falls 8% Below $3 After Hitting Resistance, High Volume Selloff Signals Weakness

https://www.coindesk.com/markets/2025/08/01/xrp-falls-8-below-usd3-after-hitting-resistance-high-volume-selloff-signals-weakness