Dogecoin Whales Accumulate Aggressively, But Price Struggles to Recover

Dogecoin Whales Accumulate Aggressively, But Price Struggles to Recover

Dogecoin whales have been on a significant accumulation spree over the past few days. However, despite their aggressive buying, DOGE’s price has yet to recover from the sharp losses it sustained over the past week. Still, analysts remain optimistic, suggesting that the meme coin has likely reached its cycle low and is poised for a rebound.

Just a few weeks ago, DOGE was trading comfortably above $0.40. The last time it crossed this threshold was on January 21, when it briefly spiked past that level. However, the rally was short-lived, and the asset began a steady decline soon after.

The most significant drop came during Monday’s market-wide sell-off, which saw most cryptocurrencies experience heavy losses. DOGE was among the worst-hit assets, plummeting to $0.20—its lowest price in two months.

Following the crash, the market attempted to recover, with Dogecoin bouncing back toward $0.30 on Tuesday. However, it faced strong resistance and has since retraced to under $0.25, marking a 25% decline on the weekly chart.

Whales Continue Buying, but Price Remains Stagnant

Despite the downturn, Dogecoin whales have been accumulating at an impressive rate. Reports from Thursday revealed that these major holders scooped up over 750 million DOGE during the crash. Their buying spree didn’t stop there, they added another 100 million DOGE within 24 hours, further tightening the available supply.

However, their aggressive accumulation has yet to trigger a meaningful price recovery. Still, some analysts believe a reversal is imminent based on historical trends.

Crypto analyst Trader Tardigrade pointed out that DOGE appears to be mirroring its 2017 price movements. If history repeats itself, this could indicate that the asset has reached its bottom and is gearing up for a surge toward new all-time highs.

Similarly, KrissPax acknowledged the recent downturn but emphasized that such corrections are a natural part of every cycle. He noted that these shakeouts often eliminate weak hands, creating prime buying opportunities for those who are prepared for the next big move.

While Dogecoin’s short-term price action remains uncertain, the ongoing accumulation by whales and historical patterns suggest that a potential rebound could be on the horizon.