Dogecoin (DOGE), 500% Rally Signal Appears..."Whales Accumulate as Retail Investors Dump"

▲ Dogecoin (DOGE)/ChatGPT generated image

Large Dogecoin (DOGE) whales are accumulating $112 million worth of the cryptocurrency, preparing for an upward breakout. Despite strong selling pressure acting as a barrier, massive accumulation and bullish divergence have combined to suggest the possibility of an explosive rally.

According to Benzinga, a U.S. investment media outlet, on September 28 (local time), virtual asset analyst Ali Martinez analyzed that large Dogecoin investors are building positions for a bullish breakout despite facing strong resistance. Martinez emphasized that large whales have bought 1.14 billion DOGE, worth $112 million, over the past four days.

According to the on-chain cost-based distribution heatmap, the area around $0.098 has been identified as the maximum decisive point. This price range is a major resistance zone where approximately 28 billion DOGE changed hands in the past. Martinez predicted, "If $0.098 is broken, the next supply wall will form around $0.11, where approximately 4.98 billion DOGE are concentrated. If even that range is surpassed, $0.20, supported by approximately 12 billion DOGE, will be the next key gateway."

Technical indicators also showed signs pointing to a massive upward rally. Market analyst Javon Marks diagnosed that a bullish divergence is being maintained in the Moving Average Convergence Divergence (MACD) index. Marks evaluated, "This divergence could be the driving force for Dogecoin to continue its upward trend towards its breakout target of $0.6533," adding, "A massive movement, surging over 500% from the current price level, could occur."

However, short-term range-bound trading due to selling pressure is still ongoing. According to Benzinga Pro data, Dogecoin continued its consolidation, trading at around $0.0943, down 1.30% over 24 hours. Despite short-term volatility, the aggressive absorption of supply by large whales is ensuring downside rigidity, according to analysis.

The massive influx of funds from large whales and improved technical indicators are increasing Dogecoin's upward pressure. Market attention is focused on whether it can break through the $0.098 resistance level, where 28 billion DOGE are concentrated, and achieve a major uptrend towards the long-term target price of $0.6533.

[Key Article Summary]

-Dogecoin (DOGE) whales accumulated 1.14 billion DOGE, worth $112 million, over four days.

-It was analyzed that breaking through the $0.098 resistance wall, where 28 billion DOGE are concentrated, would open an upward path to $0.20.

-Driven by the formation of a bullish MACD divergence, a 500% surge towards the $0.6533 target price has been projected.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*