Dogecoin (DOGE), the popular meme coin, has attracted significant attention from cryptocurrency investors in recent times, generating expectations of a potential upward trend despite recent price declines. Notably, there has been a surge in activity among large DOGE investors, indicating a positive outlook for the cryptocurrency.
Crypto analyst Ali Martinez recently pointed out that DOGE whales have acquired over 400 million DOGE since May 30, worth $63.56 million at the current price. This new purchase adds to the 700 million DOGE they had already bought on the same day, suggesting strong confidence among major investors.
This increase in whale activity aligns with the broader trend of crypto investors gravitating towards meme coins. By June 4, DOGE’s daily trading volume had risen by over 10%, reaching $840 million, a significant contrast to the previous week. However, the price of Dogecoin has struggled to stay above important moving averages.
Despite these challenges, recent market updates indicate that traders are shifting their focus to high-beta meme tokens such as Shiba Inu (SHIBA), Dogecoin (DOGE), and Pepe (PEPE). These tokens currently rank among the top 10 in terms of open interest, with Shiba Inu and Pepe experiencing notable gains in recent days.
Investors appear to be anticipating a price surge for DOGE and are positioning themselves accordingly. Although Dogecoin has lagged behind other top meme coins in the past week, current trends suggest that it may soon undergo a significant rally.
Based on the 24-hour price chart, if the current trend persists, DOGE could reach $0.1765. However, failing to maintain a position above $0.1521 could trigger a decline, potentially bringing the price down to $0.1287.
At the time of writing, Dogecoin’s price had decreased by 2.11% to $0.1588, with a market capitalization of $22.95 billion. Despite the recent price decline, DOGE has seen a year-to-date increase of approximately 78%. Additionally, according to CoinGlass derivatives data, Dogecoin Futures Open Interest has decreased by 2.55% to $918.95 million.
