Massive Whales Trigger Further Plummeting of Dogecoin
Dogecoin has experienced a further decline as the cryptocurrency’s on-chain data reveals significant movements by whales in the past 24 hours. Whale Alert, a cryptocurrency transaction tracker service, has reported 13 large Dogecoin transactions during this period. These transactions can be categorized into two batches. The first batch consisted of six transfers worth 3,758,651,596 DOGE (equivalent to $227.7 million). These transfers occurred closely together, leading to speculation that they may be linked to the same whale or group of whales, as evidenced by the involvement of the same sending and receiving addresses.
The second batch of whale transactions also involved movements between unknown wallets. The sending addresses for this batch matched the receiving addresses from the first batch, suggesting that the whale who received coins in the first transactions made further movements themselves shortly after. In total, 5,600,000,000 DOGE (approximately $340 million) moved through these transfers.
The purpose of these transfers is unclear, but given the recent price trend of Dogecoin, selling may have been the objective. Dogecoin’s price has declined by 10% over the past week, coinciding with the announcement of the Federal Reserve’s interest rate decision, which may have had a broader impact on the cryptocurrency sector.
The involvement of unknown addresses in these transactions suggests that they may be associated with investor wallets rather than centralized platforms like exchanges. While it is difficult to determine the specific reasons behind these transactions, possible explanations range from changing wallets to over-the-counter selling.
Despite the decline in price and the whale transactions, the overall impact on Dogecoin’s market remains uncertain. It is worth noting that the cryptocurrency market is highly speculative and subject to volatility.
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