Will Dogecoin reclaim its previous popularity?
According to analytics company IntoTheBlock, Dogecoin has seen a spike in popularity and renewed interest in whale activities.
With over $1 million in cryptocurrency wallets, whales are the biggest holders. Users who store huge quantities of cryptocurrency without selling them in the anticipation of future earnings are referred to as holding.
The biggest memes cryptocurrency was able to push its way back into the top-10 digital currencies earlier this week because of a rise of interest in Whales.
Whales are major crypto asset investors, and their actions may occasionally predict how the retail market will behave shortly.
Most of these transactions show a preference for buying Dogecoin than selling it. Dogecoin now has a market capitalization of a little around $19 billion.
However, Dogecoin’s rise in the rankings table can also be linked to a 15% drop in Avalanche pricing, which is no longer occupying the 12th spot in the standings
The number of transactions worth at least $100,000 increased to 2,440 on Monday, the largest since January 14, 2022. The indicator serves as a proxy for the volume of transactions made by whales and institutional investors.
At the moment, Dogecoin is trading at about 80% of its all-time high of $0.6848, which was reached just over a year ago. For the time being, the deflationary coins have a supply of 132.67 billion DOGE tokens, with no cap.
It’s no secret that Elon Musk is a vocal supporter of cryptocurrencies and a long-time dogecoin user. Last year, Musk told Time magazine that dogecoin is more suited for transactions than bitcoin.
With Elon Musk and big whales on one side, Dogecoin is regaining its former grandeur.
Along with it, the Dogecoin Foundation’s RadioDoge protocol plans to leverage low-cost radio technology aligned with the Starlink satellite, allowing transactions to be completed without the usage of the internet on the other side.
According to market analysts, the surge in whale activity indicates a large potential growth in Dogecoin pricing, although it is highly dependent on Bitcoin’s movement and investors’ interest in risky assets.
Dogecoins remains a very volatile asset tied to influencers’ and whales’ activity. Before investing further in crypto, investors must grasp the additional dangers associated in comparison to Bitcoin.
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