Whales within the Dogecoin community have made a substantial purchase of over 700 million $DOGE in the past 72 hours, totaling around $112 million, according to technical and on-chain analyst Ali Martinez. This significant acquisition indicates a heightened demand for the popular memecoin.
The latest data shows that memecoins like $SHIBA, $DOGE, and $PEPE are leading gains as traders seek to diversify their portfolios. Despite Bitcoin remaining stagnant above $67,000 since May 23rd, some traders are turning their attention to memecoins like DOGE following an increase in supply from the Mt. Gox exchange.
QCP Capital, a crypto trading firm based in Singapore, reported a shift towards legacy memecoins such as Shiba Inu (SHIBA), Dogecoin (DOGE), and Pepe (PEPE), all of which have seen double-digit percentage gains ranging from 10-20% and rank among the top 10 on the OI list.
Recent data indicates a rise in open interest rates for both PEPE and Floki (FLOKI) in the last 24 hours. However, Dogecoin’s OI has decreased by approximately 5%, potentially slowing down a V-shaped short-term bounce for DOGE.
As Dogecoin nears a critical support level at $0.15, bearish indicators suggest a downward trend. The diminishing open interest for Dogecoin, which has been declining since May 27th and now sits below $900 million, indicates a bearish sentiment. Additionally, the decreasing CVD further supports the notion that sellers have gained a stronger position since May 27th.
Despite these bearish signals, DOGE remains close to a crucial short-term support at $0.15. Increased demand could push Dogecoin towards the short-term supply range of $0.17 or even $0.20. Market observers are closely monitoring how DOGE will navigate this evolving market environment.