Dogecoin Whales Dumping Tokens, Can DOGE Price Still Hit $1 This Year?

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As a seasoned researcher with years of experience in analyzing cryptocurrencies and their market trends, I have witnessed many ups and downs in this dynamic space. The recent developments surrounding Dogecoin (DOGE) have once again sparked my curiosity and concern, as they seem to present an interesting mix of bullish and bearish signs.

Elon Musk’s recent suggestion about accepting Dogecoin (DOGE) for Tesla goods sparked a positive vibe throughout the larger Dogecoin market. However, big Dogecoin investors have been selling off their holdings, which has raised concerns among investors. As a result, the price of Dogecoin dipped by around 4% over the past day

Dogecoin Whales Reduce Holdings Sparking Concerns

On September 4, as per Whale Alert’s data, an astounding 119.67 million DOGE were transferred from the unidentified wallet address DUU1Ru… to Robinhood. This significant movement, often referred to as a “whale dump,” held a monetary value of approximately $11.70 million. This action suggests a notable decrease in the whale’s faith in the asset’s potential

A recent report published by IntoTheBlock indicates that the number of individuals holding at least 0.1% of the meme coin’s total supply has noticeably decreased their on-chain activity since September started. To clarify, daily inflows dropped substantially from around 229.49 million to just 27.96 million Dogecoins as of September. Furthermore, outflows surged by approximately 80.7% during this period

In summary, large-scale investors seem to be losing faith in the asset as indicated by recent trends on the blockchain. Consequently, there’s a prevailing pessimistic view among cryptocurrency market players regarding Dogecoin’s future prospects

DOGE Price Slips Despite Elon Musk-Birthed Optimism

At the same time, it’s important to mention that although Elon Musk has confirmed Dogecoin as a payment option for Tesla merchandise, its usage seems to be growing at a moderate pace

Additionally, this week, U.S. District Judge Alvin Hellerstein threw out the Dogecoin manipulation charges against Elon Musk and Tesla. However, despite this decision, the popular meme cryptocurrency based on dogs hasn’t seen any price increases

Today’s broader market trend has resulted in a 3% decrease for Dogecoin (DOGE), causing its current value to settle at approximately $0.0963. The day’s lowest and highest points for the coin were $0.09298 and $0.1005, respectively. A closer look at the weekly chart indicates a drop in DOGE price trends

Regarding this matter, the token’s current state has created uncertainties about its future price movements because it is moving slowly even though positive developments are happening in the broader market. Moreover, today, the futures Open Interest (OI) of the coin decreased by 3.5%, amounting to $446.31 million, causing worry among investors

Additionally, it’s noteworthy that Dogecoin’s Relative Strength Index (RSI) stands at 40, suggesting a degree of selling pressure on the coin today. In summary, considering its recent performance, the prediction of Dogecoin reaching $1 this year appears somewhat pessimistic. Nevertheless, due to the volatile characteristics of the cryptocurrency market, investors remain attentive for potential price fluctuations in Dogecoin

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2024-09-04 15:49