Dogecoin (DOGE) Price May Be on the Precipice of a Giant Pump as On-Chain Data Points to Whale Accumulation

Dogecoin price may be on the precipice of a giant pump as on-chain data point to whale accumulation. The bullish DOGE forecast is also based on its technicals

Dogecoin price may be on the precipice of a giant pump as on-chain data points to whale accumulation and technicals hint at a technical setup for a strong surge. The bullish DOGE forecast is also based on its social dominance score, which has crawled back from the lows.

The cryptocurrency market has seen a mixed performance in recent months, with some coins surging while others struggle to stay afloat. Among the top ten coins, Dogecoin (CRYPTO: DOGE) has managed to perform relatively well, heating up after hitting lows of $0.5 in April with the news that Coinbase (NASDAQ:COIN) had applied to list a DOGE ETF.

Dogecoin Price Today

The Dogecoin price today trades at $0.1770, up by 35% from its April lows, mirroring the performance of other coins like Aave (CRYPTO: AAVE) and Chainlink (CRYPTO: LINK).

The recent price increase may benefit as data from crypto analytics firm Glassnode shows that whales are doing that. Ali Martinez, a top crypto expert, noted that whales bought about 100 million DOGE coins last week, as they bet that the recovery would gain steam.

Whale buying is often a leading indicator in crypto price analysis, as these investors are perceived as more experienced and sophisticated. In some instances, many coins surge when retail traders notice that whales are actively buying the dip.

Further supporting the bullish Dogecoin price prediction is that its social dominance score, which measures the share of discussions about a coin compared to other top-ten coins, has crawled back. Santiment data reveals that this score has risen to 2.524%, up from the bottom of 0.9% last month. This gradual improvement could imply a potential surge in the coming weeks as it shows that more users are mentioning it in their discussions. A likely reason is the recent DOGE ETF optimism after Nasdaq applied to list 21Shares' DOGE fund.

Some crypto analysts are backing the positive DOGE price prediction. CryptoBullet pointed to the chart below, which featured the Livermore Accumulation Cylinder, a rare reversal sign. This pattern, characterized by a widening mouth, is marked by higher highs and lower lows.

In his estimation, the coin has now retested the lower side of the channel and is setting up for a strong surge, potentially to over $3. A jump from the current Dogecoin price of $0.788 to $3 would signal a 280% surge from the current level. Such a move is possible as Fartcoin price has jumped by almost 500% from its lowest level this year.

CryptoBullet’s DOGE prediction is based on the weekly chart, meaning that the signal may take a long time to form. Turning to the daily chart below, the coin is coming from a giant falling wedge pattern, a popular reversal sign.

The widest part of this wedge is about 63%. Measuring that price from the breakout point at $0.1595 brings the most viable short-term Dogecoin price target to $0.2625.

No model is accurate in technical analysis. Therefore, in this case, a drop below last month’s low of $0.1300 will be a sign that there are more sellers out there. Such a move will prompt more sell-offs over time and invalidate the bullish DOGE price forecast.

1. Is the Dogecoin price about to surge as whales accumulate?

The world’s leading cryptocurrency, Bitcoin, has seen a slight uptick in price, while Dogecoin is also showing signs of a modest increase.

According to crypto analytics firm Glassnode, the average price paid for Bitcoin across all exchanges has risen to $30,343, marking a $1000 increase from last week. This increment is attributed to the recent price action, which saw Bitcoin briefly dip below the $29,000 level before recovering to around $31,000.

Furthermore, data from crypto derivatives platform Bitquant indicates that Bitcoin futures on Binance have experienced a significant inflow of funds, amounting to approximately $1 billion in a single day. This substantial capital influx may be linked to the anticipation of the upcoming Seized Bitcoin ETF, which could lead to increased demand for Bitcoin.

In other news, Dogecoin price may benefit as data shows that whales are doing that. Ali Martinez, a top crypto expert, noted that whales bought about 100 million DOGE coins last week, as they bet that the recovery would gain steam.

“Dogecoin whales have been busy this week, accumulating a massive amount of coins. According to on-chain data, approximately 100 million DOGE coins were bought by whales last week, as they appear to be betting on a continuation of the cryptocurrency’s recent recovery.”

Whale buying is often a leading indicator in crypto price analysis, as these investors are perceived as more experienced and sophisticated. In some