This Altcoin Is Top Of The Whale Menu! Well Why?

There was a big sell-off in the cryptocurrency market. Despite the general negative attitude in the Bitcoin and altcoin market, whales focused on Dogecoin (DOGE) during this period.

There is an increase in the number of addresses holding DOGE

Last week, there was a 5.13% increase in the number of addresses with 100 million to 1 billion DOGE, as crypto trader BullBNB explained. In addition, about six more whales joined the network. Thus, it brought an additional 620 million DOGE to the network.

Dogecoin: The number of addresses holding 100M – 1B DOGE increased by 5.13% last week. About 6 new whales joined the network, collecting about 620 million DOGE. With that in mind, I’m going to buy a brand new DOGE bag.

In light of this, the trader recently tweeted, “I’m about to buy a new DOGE bag.” The latest whale event was a big surprise for DOGE holders and investors. So what compelled the whales to seek DOGE?

Is it time to buy base for altcoin? As you follow, the current market environment is extremely negative for multiple cryptocurrencies. The release of the US CPI report and the anxiety caused by the Fed’s rate hike triggered a widespread sell-off in the stock and crypto markets. Cryptocurrencies followed the bearish path as the dollar climbed to the tops.

At press time, the meme-coin is down 9.94% from its September 12 high. According to crypto analyst Jet Encila, DOGE was not enough to prevent a 9.56% drop on September 18, even if it showed bullish signals. The analyst appreciates that this decline would have pushed whales to save rather than sell their DOGE supply. Accordingly, whale activity has increased. So what does this mean for DOGE?

Dogecoin bull behavior

DOGE’s rise came as a surprise as the cryptocurrency market, particularly Bitcoin and Ethereum, continued to decline. The analyst attributes this rise in price to recent large purchases by whales in DOGE. According to the information received from Coinecko, at press time, DOGE was trading at $0.066041, up 9.4% over the past seven days.

According to the analyst, this shows that the meme-coin is leading the crypto market. It also means that it gives hope to the entire crypto market that a respite is on the horizon. But investors and traders need to ask whether this is really a flash in the pan or a persistent bullish trend. The analyst makes the following assessment:

DOGE tested the resistance level at the 0% Fib level. Also, this was answered with a long wick of rejection, followed by a red candle. It is possible that this is the start of a short correction cycle for DOGE that will cause a slight price drop. In the coming days, we can expect to receive additional information.

DOGE’s total market cap daily chart / Source: TradingView

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