News

Dogecoin Whale Unloads $200 Million Token on Robinhood, Will DOGE Price Rally Stop?

Published

2 months ago

17 May, 2024

Dogecoin Whale Dumps $200M Tokens On Robinhood, DOGE Price Rally To Halt?

As the Dogecoin (DOGE) price. recovered and rallied more than 7%, a whale dumped 200 million DOGE tokens. Additionally, an increase in Dogecoin whale activity has been noted. While buying pressure from whale accumulation could push the DOGE price higher, the latest transaction suggests otherwise.

The whale discharges a huge DOGE reserve

Second Whale alert, the Dogecoin whale in question recently transferred 200 million DOGE, equivalent to approximately $30.86 million. The transaction was executed from an unknown wallet on the popular trading platform Robinhood. This transaction has raised concerns within the crypto community, suggesting a potential dumping that could halt Dogecoin’s recent price rally.

Dogecoin has seen a notable price increase of over 7% in the past 24 hours, largely fueled by renewed purchasing power in the market. However, the substantial move to Robinhood indicates that a large holder is signaling that it may be preparing to sell a significant portion of its holdings. This action could introduce selling pressure and reverse the current upward momentum.

Meanwhile, IntoTheBlock data provides further insights into large-scale activity Dogemoneta owners. Over the past month, there has been a sharp increase in the number of large transactions. The number of transactions peaked at 1,86,000 transactions on Wednesday, May 14, 2024. Furthermore, this increase in activity highlights the increased involvement of whales and institutional investors.

Furthermore, the volume of these large transactions also increased, reaching 11.55 billion DOGE on the same day. It suggests substantial token movements and likely strategic positioning by the whales. While several Dogecoin whale transactions could have explained the buildup, the latest suggests a potential sell-off by whales looking to make profits amid the recent surge.

Will Dogecoin Price Rally End?

Dogecoin managed to surpass $0.15 and even approached the $0.16 milestone. At the time of writing, the DOGE price on Thursday 16 May it jumped 6.10% to $0.1556. Furthermore, the market valuation of the largest meme cryptocurrency rose to $22.46 billion. Additionally, DOGE’s 24-hour trading volume increased by 18.33% to $1.96 billion.

Additionally, open interest in Dogecoin futures rose 11.83% to $884.94 billion, indicating renewed interest among derivatives traders. However, short sellers dominated liquidations with $2.51 million, according to the data Coinglass. While the short squeeze could drive DOGE’s value higher, the dump would be even more significant as the shorts take over.

Analyzing technical indicators, Dogecoin price dynamics is at a critical juncture. The 50-day exponential moving average (EMA), currently around $0.1652, is serving as a resistance level. A break above this level could signal the start of a bull market. Furthermore, it could potentially push DOGE price higher to the next resistance points at $0.18 and $0.20.

On the other hand, the 100-day EMA positioned at $0.1434 is providing a support level, indicating a cushion against significant declines. The 200-day EMA at $0.1237 serves as a major long-term support level. If increased whale activity results in substantial selling pressure, Dogecoin could face a bearish scenario, testing these support levels.

✓ Share: