Dogecoin DOGE/USD It may have pulled back significantly this week, but whale investors have not given up on the king of meme coins yet.
What happened: On Tuesday, popular blockchain research firm Holy took to X to share his findings on Dogecoin's recent performance. The firm noted a significant 18% drop from its recent highs on Saturday, but highlighted that the whales were still very active on the network.
The total number of addresses involved in DOGE transactions daily increased to 63,689 in the last three days, marking the largest three-day growth in six months.
Additionally, more than 1,200 transactions worth more than $100,000 were recorded ahead of Saturday's local high, the highest whale activity since May 26-28.
“Although they made profits just before reaching the top, their activity is still very high on the DOGE network,” Santiment commented.
DOGE's bullish potential was also underlined by a widely followed cryptocurrency trader Ali Martinez. In an X post, he noted the formation of a bullish MACD crossover on the weekly chart.
Citing history, Martinez said previous occurrences of bullish MACD crossovers preceded rallies of 90% and 180%, respectively.
The MACD is primarily used to measure the overall trend of an asset. When the MACD line crosses above the signal line, the sentiment is bullish and when it crosses below the signal line, the sentiment is bearish.
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Why it is important: This analysis comes in the wake of a broader decline in the cryptocurrency market after news of Iran's missile attack on Israel raised fears of a full-blown war and economic woes.
bitcoin BTC/USD and Ethereum ETH/USD They were down 3% and 6%, respectively, while the total market capitalization contracted more than 4% in the last 24 hours.
A pseudonymous cryptocurrency trader, Master Kenobipredicted last month that Dogecoin would outperform Bitcoin in the current market cycle, as it has in previous cycles.
He argued that Dogecoin has been able to take advantage of Bitcoin's trajectory, benefiting from the groundwork laid by the leading cryptocurrency, and will benefit from the “follower” effect.
price action: At the time of writing, Dogecoin was trading at $0.1083, down 8.6% in the last 24 hours, according to Benzinga Pro data.
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