The activities of Dogecoin whales have become more pronounced over the past 24 hours as a large portion of the popular meme tokens have several whales.
According to data released by IntoTheBlock and shared by a renowned crypto analyst, about 3.89 million addresses are currently holding custody of several DOGE tokens. This might appear remarkable, but three months ago, the number was 4.55 million, pointing to a wide gap between the two figures.
Although the decline in the number of token holders may not directly impact the coin in terms of market performance, looking at it from the angle of growth points to a critical sign that all is not going as expected.
From the analysis of the top-performing BSC whales, as shown by WhaleStats, Dogecoin is still managed to remain among the 10 digital assets held by the whales. Additionally, the whales currently control $33,212,182 worth of DOGE. As of writing, Dogecoin has a slight 3% increase and trades at $0.114.
Elon Musk Is Not Looking To Sell His Crypto
Following the Tesla boss’s statement that he was not going to sell his DOGE stash, the price of the popular meme cryptocurrency surged by more than 9% in the period that the statement became public. This point to the nature of the price speculation on Dogecoin, heavily influenced by the actions of the billionaire.
In another development, Musk took a swipe at the CEO of MicroStrategy, Micheal Saylor, whose forecast points to the fall of lesser cryptos and the intensified movement of capital flight from other assets to Bitcoin.
Musk also took to his Twitter handle to ask his followers about the inflation rate for the next few years following the United States Consumer Price Index (CPI) metrics, which rose to 7.9% a year ago, indicating the highest inflation level for more than 40 years.
The Accumulation Of Dogecoin Is A Positive
From all indications, top investors are continuously scooping up large tokens at a discount amid the current market correction concerning the short-term price performance of cryptocurrencies. The crypto market has a period where prices rise and fall in response to the activity taking place on the market.
According to the IntoTheBlock data, the last 24 hours have seen the activities of Dogecoin whales increase on the network, with large transactions rising by 81%. Essentially, any spike in large transactions more often points to top players’ buying or selling activities.
The same data shows that the profitability of the DOGE remains at 53%. Adding new addresses to the network is another quick way to retain existing coin holders and prevent them from selling.
All things being equal, should the accumulation of the meme coin continue, coupled with the addition of more addresses, Dogecoin would, in no time, break out of its current position to become more profitable. For now, any slight recovery is a win for the meme cryptocurrency.