Amid significant drops in recent days, the price of Dogecoin (DOGE) is currently showing some signs of recovery in the face of an upward trend emerging in the path of the largest memecoin on the market.

During 2023, Dogecoin whales significantly reduced their positions, according to a survey released by cryptocurrency analysis platform, IntoTheBlock. The data highlighted that the proportion of Dogecoin held by whales decreased from 45.3% to 41.3%.

“Over the past year, the largest Dogecoin whales have reduced their holdings. The percentage of supply held by those who own more than 0.1% each fell from 45.3% to 41.3%. In contrast, retail and mid-market investors now hold a greater share of total supply,” he wrote.

The trend observed by the platform’s analysts suggests a strategic realignment of DOGE whales or a response by these holders to market dynamics.

Recently, the Santiment platform highlighted the drop in crowd sentiment towards three cryptocurrencies, including Dogecoin. “Crowd sentiment dropped significantly for XRP, Dogecoin, and Shiba Inu following their respective prices falling. Patient traders who have been waiting for the crowd to give up on these large-cap altcoins may finally get their buying opportunity with FOMO in 2024 at the earliest.”

What’s next for DOGE?

Amid recent negative sentiment and signs of memecoin price increases, Santiment noted Dogecoin’s 30-day MVRV, suggesting the cryptocurrency has great potential to rise soon.

“The lower a cryptocurrency’s 30-day MVRV, the more likely we are to see a short-term bounce: Bitcoin: -4.0% (slightly higher) Ethereum: -4.3% (mildly higher) XRP: -3.5% (smooth rise) Dogecoin: -16.7% (very bullish) Toncoin: -0.6% (neutral) Cardano: -12.6% (very bullish),” he wrote.

At the time of publication, the price of Dogecoin was quoted at US$0.1229 with an increase of 2.1% in the last 24 hours.


The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.


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