Major Dogecoin ($DOGE) Whales Divest as Market Sentiment for Memecoins Drop

Large Dogecoin ($DOGE) investors, colloquially knwon as whales, have been divesting of their holdings in the largest meme-inspired cryptocurrency by market capitalization, with their supply of it dropping from 45.3% to 31.3% over the past year.

According to data shared by IntoTheBlock, over the past year DOGE holders with more than 0.1% of the cryptocurrency’s supply have been selling, while retail and mid-sized investors now hold a larger share of the cryptocurrency’s supply.

These whales divestments come at a time in which crowd sentiment for the meme-inspired cryptocurrency has been plunging for DOGE, rival memecoin Shiba Inu, and the native token of the XRP Ledger, XRP, according to data from on-chain analytics firm Santiment.

Per the firm, patient traders who have been “waiting for the crowd to give up on these large cap altcoins may finally have their buy opportunity with FOMO [fear of missing out] at a 2024 low.”

The price of DOGE, it’s worth noting, has dropped by more than 16% over the last 30 days to now trade at $0.124. The cryptocurrency rose nearly 40% year-to-date, underperforming the flagship cryptocurrency Bitcoin, which rose 54% over the same period.

Nevertheless some analysts are bullish on the meme-inspired cryptocurrency, with one trader saying DOGE has “been forming Ladle Pattern in each cycle,” and sharing a chart showing this cycle the pattern has formed again and could see DOGE’s price skyrocket to over $2.2.

DOGE has historically seen significant rallies over short periods of time. Back in 2021,  search interest for Dogecoin exploded during the cryptocurrency’s massive 10,000% price rally, going from an average of 135,000 monthly searches in April 2020 to 16.5 million in April 2021.

Dogecoin was created back in 2013 as a joke. The cryptocurrency’s community is well-known for taking on philanthropic projects, which included helping charitable organizations. It made headlines in 2014 after raising more than $25,000 worth of DOGE to let the Jamaican bobsleigh team attend the Winter Olympics in Sochi.

Featured image via Unsplash.