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The Dogecoin price recovery has been a welcome sight for investors after the meme coin struggled around $0.09 for a while. Naturally, this price movement has prompted significant activity among Dogecoin investors, including whales. As the price rebounds, these whales have increased their activity, moving billions of DOGE to and from their wallets. However, the net flow of these whale wallets paints a bearish story for the DOGE price.
Dogecoin Whales Move Over $500 Million
Large whale transactions, as tracked by the IntoTheBlock platform, involve transactions carrying $100,000 or more. Despite a slight drawdown from the previous week’s figures, these large transactions have maintained a reasonably high level. Over the last two days, the average number of whale transactions has been around 800, indicating that interest from the whales remains high.
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Although the whale transaction numbers decreased between Sunday and Monday, dropping from 899 transactions to 818 transactions, the volume of DOGE moved tells a different story. According to IntoTheBlock’s data, 5.19 billion DOGE were moved on Monday compared to 4.59 billion DOGE on Sunday.
In dollar terms, this translates to $522.89 million compared to $499.99 million. These numbers show an average of $500 million being moved by these whales every day. As the Dogecoin price continues to recover, whale transactions could balloon from here as investors move to secure their positions.
Where Are The Coins Headed?
The net flow data for large whale wallets can tell us where the whales are moving their DOGE coins. This data tracks the inflows and outflows from the Dogecoin whale wallets, illustrating how much is entering the wallets and how many coins are leaving. As a result, it can show if these whales are buying or selling at this time.
According to IntoTheBlock data, inflows into the wallets have declined, while outflows from these large wallets have risen over the last few days. Inflows dropped from 37.4 million DOGE on Sunday to only 115.11 million DOGE on Monday. This indicates that Dogecoin whales have not been buying as much DOGE during this time.
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Similarly, outflows also surged from 18.37 million DOGE on Sunday to 107.71 million DOGE on Monday. This outflow trend suggests that Dogecoin whales are selling rather than buying. It explains the selling pressure on the coin over the last few days, making it hard to reclaim $0.1. However, net flow data, which shows the average of inflows and outflows, has remained almost flat.
Despite these movements, the majority of Dogecoin holders appear to be in it for the long term. Data shows that 3.93 million addresses have held their DOGE coins for more than one year. Additionally, 2.2 million addresses have been holding for between 1 and 12 months. This leaves only 113,660 addresses that have been holding for less than one month.
As the DOGE price hovers above $0.1, it will be interesting to see how these trends develop and whether long-term holders will continue to support the coin amidst fluctuating whale activity.
Featured image created with Dall.E, chart from Tradingview.com
