Dogecoin Whales Accumulate 708 Million Coins, Rally Imminent

Elon Musk’s cryptic “D.O.G.E” post on the social media platform X (formerly Twitter) on September 7 has sparked a surge in Dogecoin’s (DOGE) value. Since the post, the meme coin has seen a 9% increase in price.

Whales have also ramped up their trading activity, positioning Dogecoin to potentially extend its recent gains.

Dogecoin Whales Set Their Eyes on More Gains

DOGE’s large holders have increased their coin accumulation following the price rebound that followed Musk’s “D.O.G.E” post. According to IntoTheBlock’s data, the meme coin’s large holders’ netflow has spiked by 832% over the past seven days. This represents an accumulation of 708 million DOGE coins worth over $69 million at current market prices. 

DOGE large holders, or whale addresses controlling more than 0.1% of its circulating supply, play a crucial role in price movements. Their netflow, which tracks the difference between coins bought and sold over time, provides key insights. A spike in netflow signals increased accumulation by these whales, often prompting retail investors to follow suit, which is typically a bullish indicator.

Since Elon Musk’s post, DOGE’s weighted sentiment has shifted from negative to positive. According to Santiment data, DOGE’s current weighted sentiment, a measure of market mood, sits at 0.59, reflecting growing optimism.

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

When an asset’s weighted sentiment is positive, it indicates that the majority of social media mentions, news articles, and online discussions are bullish.

DOGE Price Prediction: Double-Digit Gains on the Horizon

Dogecoin’s rising price is supported by a surging Chaikin Money Flow (CMF), which measures money flow into the market. Currently in an uptrend at 0.08, the positive CMF indicates that buying pressure is outweighing selling activity. As the CMF rises, it suggests strengthening buying momentum, potentially sustaining Dogecoin’s uptrend.

Additionally, Dogecoin’s On-Balance Volume (OBV), which tracks buying and selling pressure, has also been climbing over the past few days. This upward trend in OBV signals strong demand for DOGE, potentially pushing its price higher.

Read more: 10 Best Altcoin Exchanges In 2024

If this buying momentum continues, DOGE could rise by an additional 22%, reaching $0.11. However, if whale accumulation slows and large holders start selling for profit, the meme coin’s value could drop, potentially revisiting its August 5 low of $0.08.