Dogecoin (DOGE) price is under pressure. This is happening. A massive whale transaction of 466,890,148 DOGE (worth approximately $149 million) fueled market speculation. The transfer was made between unknown wallets. It comes as the price of DOGA has seen a 3.1% drop in the last 24 hours, trading at $0.3103.
Analysts remain bullish on its recovery potential, but bearish sentiment dominates the near-term outlook.
Implications of the DOGE Whale transaction
DOGE’s $149 million transfer has sparked many discussions about what it means for memecoin. On the positive side, such large movements can be attributed to institutional investors. As whales enter the market, it shows signs of long-term property investment.
Furthermore, if funds are staking for liquidity or distributed across wallets, this can further decentralize holding patterns which can be positive for the Dogecoin community.
But there are also bearish interpretations of this development. If the transfer goes towards the stock market, it can be a signal to sell. This could put downward pressure on the value of DOGA.
On the other hand, when there are transfers to cold storage wallets, it can mean a longer-term hold. It also indicates a reduced supply in circulation, which means less trading in the short term.
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Dogecoin price market metrics and current performance
Dogecoin’s market cap is $45.74 billion, down 2.40% in the past day. The trading volume is 2.1 billion dollars, which is an increase of 45.43%.
In the short term, the trend is extremely bearish with the first resistance at $0.32. The first major support is at $0.308. Market sentiment, reflected in trading volume, is still subdued due to uncertainty. The uncertainty comes from whale transmission. Liquidations worth more than 8.14 million dollars were recorded in the last 24 hours. It showed that long traders are struggling.
Analysts predict long-term recovery potential
Although there are short-term bearish trends, some experts may view the future of Dogecoin as quite positive. Within the past week, analyst Ali Martinez highlighted a rising channel pattern for DOGE, which had previously led to major spikes.
According to Martinez, the price of Dogecoin is currently in a pullback zone in this channel and could move towards $1 in the coming days.
In the near term, Martinez believes that if the ascending channel pattern follows, DOGE could trade at $17.76. That would be quite a price increase of 6770% from the current value, given the extraordinary rise that Dogecoin experienced in the earlier bull runs.
DOGE has also known previous gains of 4.899% in 2017 and 12.197% in 2021, with similar trends.
Also, analyst TATrader_Alan predicted a bright future for Dogecoin, saying that memecoin has completed its “final retest” and is poised for another parabolic rally. To that end, such projections are based on DOGE continuing its ascending channel pattern and breaking key boundaries.
DOGE price Important support and resistance levels
Technical analysis suggests an uncertain outlook for Dogecoin. Strong support is identified at $0.308, with resistance at $0.323. A break above $0.323 could trigger a recovery, potentially leading to a retest of $0.325 or higher.
Dogecoin’s price trend continues to be bearish, and several attempts to get back above the $0.320 mark have proved futile. If market conditions improve and sentiment expands, DOGE could break higher resistance levels and even begin a long-term uptrend.
