Dogecoin Whales Accumulate $18M as DOGE Eyes $0.13 Breakout

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The Dogecoin price moved above the $0.11 resistance level after large holders accumulated about 160 million DOGE over a 96-hour window ending May 4. The buying was worth nearly $18 million and helped push DOGE past a level that had capped its price for months.

The move added fresh attention to Dogecoin as traders watched whale activity, futures data, and key technical levels. Buying interest increased, but later derivatives data showed that risk appetite had started to cool.

Whale Accumulation Drives Dogecoin Price Breakout

Analyst Ali Martinez first flagged the whale accumulation on X. On-chain data from Santiment confirmed the increase in large-holder balances.

Balances grew from 17.82 billion DOGE to 18.15 billion DOGE in the last 96 hours. Whales now hold roughly 11% of the circulating DOGE coins.

The DOGE price responded with a fast move from $0.1075 to $0.1119 on a high volume basis. This breakout made the Dogecoin price climb above the $0.11 mark despite being stuck in this range for months.

Whale accumulations came amid an attempt by Bitcoin to push back over $80,000. Such a move provided a positive backdrop for the overall cryptocurrency market.

However, whale accumulation, futures interest, and technical factors also made a contribution towards the move. Open interest for DOGE futures contracts went up by nearly 30% in the last seven days and amounted to $1.77 billion. 

The long-to-short ratio was set at 1.8, suggesting that derivatives traders favored bullishness.

Whale Accumulation Drives Breakout

The recent transaction of 160 million DOGE price demonstrated high interest from big players. The data by Santiment revealed that wallets containing between 1 to 10,000 DOGE price have witnessed a gain in their holdings.

The gain by whale holdings contributed to the break out above the resistance zone of $0.11. This had been the resistance zone for several months.

Dogecoin traded near $0.1115. It was also trading above its 50-day exponential moving average at $0.0993.

Technical Signals Support Momentum

TradingView indicators showed a bullish setup during the move. Both the MACD and Stochastic RSI flashed buy signals at the same time.

The break above the 50-day EMA suggested improving demand. It also supported the near-term bullish bias while DOGE held above $0.0993.

Still, the Relative Strength Index stood at 76. That reading showed overbought conditions and pointed to possible consolidation.

Resistance Levels Come Into Focus

The next supply zone sits near $0.1160. That area was previously tested on February 15 and is now a key resistance level.

A move above that zone could open the way toward the 200-day EMA. That level stands at $0.1254.

The Dogecoin price remains below the 200-day EMA. A test of that area would show whether the broader downtrend is being challenged.

Support Levels to Watch

Immediate support sits at the $0.1000 psychological level. This area could become important if selling pressure returns.

Stronger technical support stands near the 50-day EMA at $0.0993. Buyers may look to regroup there if Dogecoin price pulls back more deeply.

A break below these levels would weaken the current setup. It would also reduce the strength of the recent breakout.

Futures Market Cools

Dogecoin derivatives data later showed reduced risk appetite. CoinGlass data showed DOGE futures open interest fell more than 4% in the last 24 hours to $1.69 billion.

The OI-weighted funding rate also dropped. It moved to 0.0019% from 0.0043% at Monday’s peak.

That decline showed weaker interest in holding long positions. It also suggested that traders had become more cautious after the rally.

Conclusion

The price of Dogecoin has received media coverage due to the accumulation of whales, which drove DOGE above $0.11. Such a move was made possible due to strong demand for DOGE, bullish technical signals, and increased futures trading volume.

Appendix: Glossary of Key Terms

Whales: Big stakeholders who are capable of moving markets by buying or selling heavily.

Open Interest: Total sum of all open futures positions not yet settled.

Long-to-Short Ratio: An indicator that demonstrates whether traders bet on price increase or fall.

EMA: Exponential moving average where recent price bars carry more weight.

RSI: Momentum indicator designed to determine overbought and oversold states.

MACD: Indicator used to track momentum changes in price behavior.

Frequently Asked Questions About Dogecoin Price

1- Why did Dogecoin price move above $0.11?

Large holders accumulated about 160 million DOGE over 96 hours. That buying helped push DOGE above resistance.

2- What is the next resistance level?

The next key resistance sits near $0.1160. A break above it could bring $0.1254 into focus.

3- What support level matters now?

The $0.1000 level is immediate support. Stronger technical support is near $0.0993.

4- What does futures data show?

Open interest fell more than 4% to $1.69 billion. The funding rate also dropped, showing weaker bullish demand.

References

Cryptonews

FXStreet