Dogecoin Whales Accumulating Large Positions, But Charts Bearish: Do They Know Something We Don't?

Dogecoin's DOGE/USD erratic performance is puzzling traders but fresh demand from small businesses may increase the appeal of the apex meme coin.  

What Happened: Dogecoin is down 13% over the past seven days and has painted a bearish chart pattern, according to trader Kevin. He predicts $0.08 as the next logical level to possibly build “a new base.”

Based off this #Dogecoin chart we have some simple facts to state. Broke out and faked out of the macro falling wedge = Bearish. Lost all key 1D and 4HR moving averages = Bearish. The only logical next step is to go revise .08 cents and see if we can build a new base. pic.twitter.com/Fn1qRgIjq9

— Kevin (@Kev_Capital_TA) October 3, 2024

Bloomberg reported on Wednesday that Dogecoin is seeing a fresh surge in grassroots demand from small businesses like Williamsburg Pizza in New York and University Sports Grill in Tempe, Arizona.

Also Read: Dogecoin Down 2% And Technical Analysis Says It Could Get Much Worse

Crypto chart analyst Ali Martinez cited IntoTheBlock data to show that 60,210 addresses purchased 36.4 billion DOGE at $0.11, saying the meme coin must reclaim this level to remain bullish.

In another tweet, he highlighted that Dogecoin whales bought more than 1 billion DOGE, worth $108.7 million, in the past 24 hours.

#Dogecoin whales bought over 1 billion $DOGE in the last 24 hours, totaling roughly $108.7 million! pic.twitter.com/2aSevCd7Lm

— Ali (@ali_charts) October 4, 2024

IntoTheBlock data shows Dogecoin's large transaction volume increasing by 11.7% and daily active addresses falling by 17.8%. Transactions greater than $100,000 are down from 303 to 261 in a single day. Exchanges netflows are down by 40.2%.

Price Action: DOGE is up 4.7% over the past 24 hours, trading around $0.1086 at the time of writing.

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