In a remarkable market trend, Dogecoin (DOGE) has witnessed a substantial price jump, crossing the $0.20 threshold for the first time in several years on March 5th, marking a 150% increase in its weekly gains. Data suggests that heavy-weight investors, or ‘whales’, are aggressively purchasing the cryptocurrency, potentially positioning the price to escalate towards $0.30.
Meme Coin Market Rallies
The meme cryptocurrency sector continues to thrive, with DOGE and other well-established meme coins like Shiba Inu (SHIB) capitalizing on the momentum initiated by newer entrants such as PEPE and BONK. These latter coins had previously set the stage with significant triple-digit gains.
Whale Investors Pouring Millions into DOGE
This recent surge has propelled DOGE to a three-year high, with onchain data indicating a notable trend of whale investors accumulating more of the digital currency, rather than cashing in on the rally. The activity of these large holders showcases their bullish sentiment and the potential for continued upward movement in DOGE’s value.
Monitoring Whale Activity and Price Projections
A closer look at the Santiment graph, which tracks the holdings of whale wallets holding at least 1 million DOGE, reveals a significant increase in their cumulative balance from 53.41 billion to 54.75 billion DOGE over a single week. This translates to an acquisition of around 1.34 billion DOGE, worth approximately $250 million, reinforcing the strong buying trend among these investors.
Analysts speculate that with whales continuing to buy at these levels, Dogecoin’s price could be on a trajectory to breach the $0.30 mark soon. Currently trading just above the Upper Bollinger Band indicator at $0.18, DOGE may be set for a further leap should it surpass the crucial $0.25 support level, potentially leading to a 50% price increase.