Dogecoin (DOGE) price reclaimed the key support of $0.15 this week and the rally from the past 24 hours, furthered the increase.
The investors are certainly looking to sell but DOGE has some room for growth before they can book profits.
Dogecoin Whales Attempt to Pump the Price
Dogecoin’s price is aiming to secure its recovery and rally further, and the whales are doing their best to aid it. This is evident in the growth in supply noted over the past week which shows the large wallet holders are attempting to make the most of the low prices.
The addresses holding between 10 million and 100 million DOGE have added over 500 million DOGE worth $77 million in the last week. This brought their total supply to 17.57 billion DOGE.
It also represents that whales have conviction among them towards further rise in price, which is why they are HODLing over selling.
Their conviction is further substantiated by the fact that at the moment, the network is flashing a sell signal. The participation on the network is taking a hit as the active addresses are declining.
In the last two months, the average addresses conducting transactions on the network have dipped from 67,000 to 52,000. This marks a 22.3% decline which is largely due to the lack of incentive.
Read More: How To Buy Dogecoin (DOGE) and Everything You Need To Know
Generally, rising prices and declining participation create a deviation which flashes a sell signal. However, DOGE holders will not be looking to sell right now since their supply would likely bear profits once the resistance at $0.16 is breached.
DOGE Price Prediction: Gains in Sight
Dogecoin’s price trading at $0.15 is above the crucial support of $0.15 after escaping a death cross this past week. A death cross takes place when the 200-day Exponential Moving Average (EMA) moves above the 50-day EMA. This is considered to be a bearish signal, extending decline.
However, DOGE will probably continue its recovery run, aiming to breach the resistance marked at $0.17. Flipping this level into support would mark a monthly high for DOGE, enabling investors to book profits.
Read More: Dogecoin (DOGE) Price Prediction 2024/2025/2030
On the other hand, if the support at $0.15 is lost, the the consolidation-decline will continue. A drop to $0.12 will invalidate the bullish thesis, should DOGE lose the support at $0.14.
Disclaimer
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