Whales Buy the Dogecoin (DOGE) Dip, Investors HODL, Price Prediction: Breakout Incoming

Since Wednesday, crypto whales have purchased about 1 billion Dogecoin (DOGE), suggesting that these investors could save the meme coin from a poor start

Crypto whales have been on a buying spree, snapping up about 1 billion Dogecoin (DOGE) since Wednesday. This massive buy-in could be a lifeline for the meme coin, which has had a rough start to an otherwise historically bullish October.

On Sunday, Dogecoin was trading at $0.13, but it has since slipped to $0.10. However, this recent buying spree could provide DOGE with the support it needs to erase the recent losses.

Whales Buy the Dogecoin Dip, Investors HODL

According to data from Santiment, the number of coins owned by addresses holding 100 million to 1 billion DOGE was 29.88 billion on October 2. As of this writing, that figure has increased to 30.88 billion. This means that crypto whales purchased 1 billion DOGE in the last two days.

At its current price, these coins are worth about $100 million. Typically, when whales purchase large amounts of coins like this, the cryptocurrency involved becomes more attractive to investors.

This encourages more market participants to buy and eventually drives prices higher. For DOGE, it appears that these whales are taking advantage of the recent discount and buying the dip.

If this trend continues, Dogecoin’s price could experience significant appreciation in the coming weeks. Additionally, the cryptocurrency’s Coin Holding Time has surged during the same period in which crypto whales increased their holdings.

Interestingly, Juan Pellicer, Senior Researcher at IntoTheBlock, also believes that the move could be crucial to DOGE’s price rebound.

“This uptick in accumulation coincides with growing positive sentiment in the memecoin space, with notable figures like Arthur Hayes sharing their bullish outlook on memecoins. Also, the fact that whales are steadily increasing their holdings suggests growing trust in Dogecoin’s potential, which could be a sign of further price gains ahead,” Pellicer told BeInCrypto.

Read More: How To Buy Dogecoin (DOGE) and Everything You Need To Know

Coins Holding Time refers to the duration a cryptocurrency is held without being sold or transacted. A decrease typically signals high selling pressure. However, in Dogecoin’s case, the holding time has jumped by 536% in the past seven days, suggesting that investors are HODLing and patiently awaiting potential gains.

DOGE Price Prediction: Breakout Incoming

On the daily chart, Dogecoin’s price is seeking to break out of the falling wedge. This technical pattern is formed by two descending trendlines. It is categorized as a bullish reversal because it appears when a cryptocurrency has made its final downward move, and buyers take advantage of sellers’ exhaustion.

With DOGE at $0.10, this move suggests that the coin might no longer experience a significant downturn in the short term. Also, the Relative Strength Index (RSI) measures momentum and gears up for a break above resistance.

If validated, Dogecoin’s price could surpass the $0.11 overhead resistance and potentially climb to $0.17 within a few weeks. However, if it faces rejection at $0.11, this forecast may be invalidated, and Dogecoin could drop to $0.092.

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