- The price of DOGE has surged 33% in the past 7 days.
- Several indicators hinted at a possible price correction.
Dogecoin (DOGE)The world’s largest meme coin, silver, has been generating a lot of buzz over the past few weeks as the price has risen significantly. There may be a number of factors responsible for DOGE’s performance, but one of the main reasons may be whale activity.
Dogecoin whales are hungry
The overall cryptocurrency market remained somewhat strong last week. Bitcoin (BTC) It exceeded 700,000 won. But Dogecoin was the star of the show. CoinMarketCapThe meme’s value has surged more than 33% in the past seven days.
Meanwhile, Ali, a famous cryptocurrency analyst, posted the following: Twitter DOGE highlights exciting developments regarding whales. According to the tweet, whales have purchased 1.4 billion DOGE over the past two weeks.
The value of the coins purchased was over $280 million. This clearly indicates that large players have confidence in DOGE and expect the price of meme coins to rise further in the future.
AMBCrypto’s analysis of Santiment’s data shows that whale activity around DOGE has remained high over the past few days. This can be seen in the significant increase in the number of whale trades.
As the price rose, DOGE’s social volume soared, increasing its popularity. Meme Coin’s weighted sentiment also surged on March 28, suggesting that bullish sentiment surrounding Meme Coin is dominating the market.
Is a trend reversal waiting?
Although last week was strong, Dogecoin’s daily chart turned red as its value declined slightly. According to CoinMarketCap, at the time of this writing, DOGE was the 8th largest cryptocurrency, trading at $0.2138, with a market capitalization of over $30 billion.
To see if there could be a reversal, AMBCrypto took a closer look at DOGE’s metrics. We find that DOGE’s MVRV ratio continues to remain high despite the brief downtrend.
Additionally, the funding rate is also displayed in green, meaning that derivatives investors are actively purchasing DOGE.
read Dogecoin (DOGE) Price Prediction 2024-25
We then analyzed the daily charts of Dogecoin. Our analysis shows that the technical indicator MACD has a clear bullish lead in the market.
However, the possibility of a price adjustment cannot be ruled out as the Money Flow Index (MFI) enters the overbought zone. This could increase selling pressure on meme coins and eventually push their prices down.