Whales Accumulate 1.83B Dogecoin Amid Bullish Optimism

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The largest meme-based cryptocurrency, Dogecoin (symbol: DOGE), has seen increased activity from large investors over the past two days, with a staggering 1.83 billion DOGE being purchased. This buying spree coincides with the attention surrounding the recent launch of Donald Trump’s Solana-backed meme coin, Official Trump (symbol: TRUMP).

Trump’s new coin briefly reached a market capitalization of $14 billion, surpassing Shiba Inu (symbol: SHIB) which currently stands at approximately $12.23 billion. Despite this, Dogecoin maintains its dominance with a market cap of around $55 billion.

In this context, DOGE refers to the cryptocurrency’s symbol, and $0.37 represents its current price. The 24h volatility and market cap figures provided represent the coin’s price volatility over the past 24 hours and its total market value respectively. Similarly, for Trump’s coin (TRUMP) and Shiba Inu (SHIB), their respective symbols, prices, volatilities, market caps, and 24h volumes are also provided.

As a researcher, I’ve observed that at the current price of $0.37, Dogecoin hasn’t demonstrated any substantial 24-hour price fluctuations. However, over the past week, it has experienced a noteworthy surge of approximately 15%. Moreover, recent whale activities have significantly boosted its 24-hour trading volume to an impressive $10.2 billion, representing a substantial increase of around 50%.

Chart Patterns Hint at Bullish Potential

Analysis of Dogecoin’s price trend has added to investor enthusiasm. As per crypto expert Ali Martinez, Dogecoin (DOGE) is currently moving within an extended upward channel over several years, suggesting a potentially bullish price prediction of $15. Furthermore, the weekly chart indicates that DOGE may have broken free from a bullish pennant pattern, typically indicating a surge in positive market movement.

Additionally, on the 17th of January, the token made an effort to surpass the upper boundary of its Bollinger Bands, but encountered resistance. This caused it to revisit the middle band as support. At this point, DOGE seems ready for another attempt at breaking out, which could potentially ignite a significant surge in value.

Source: TradingView

Furthermore, the Relative Strength Index (RSI) indicates a value of 53.60, indicating that buyers have regained control and the bulls may attempt to elevate DOGE further. The incline of the line suggests a rapid advance to recapture the $0.4 price mark and potentially reach even higher levels.

Historical trends in Doge’s performance have added to the anticipation among analysts. It has been observed that after U.S. presidential inaugurations in 2017 and 2021, DOGE saw remarkable growth, increasing approximately 30 times and 80 times respectively. If this token follows the average of these past cycles, it could potentially increase by around 55 times from its current price, possibly reaching $20.

Last week, it was mentioned by WSB Trader on platform X that there’s a good possibility that Dogecoin might exceed $1 by the end of this month (January), given its historically bullish tendency during this period.

Memecoin Market in Uptrend

The surge in Dogecoin’s performance is tied to a broader upward trend in the market for meme-based cryptocurrencies. These digital assets collectively have a staggering market value of about $116 billion. Moreover, trading activity within this sector has experienced a significant increase, with volumes jumping by approximately 124% over the last day, currently reaching a whopping $81 billion in transactions.

This increase in value occurs around the same time as Trump’s inauguration, leading analysts to ponder the possibility of crypto-friendly policies within his administration. Although Trump’s TRUMP memecoin has garnered attention, DOGE steadily strengthens its dominance as the undisputed champion in the memecoin market.

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2025-01-20 15:32