What Impact Will it Have on the Price?
Dogecoin (DOGE) has been experiencing a steep downtrend since April 18, with DOGE holders currently sitting on 16% losses compared to the local peak of $0.096 on April 4. On-chain data indicates that whale investors and Dogecoin miners are selling, which could impact the price in the coming days. Miners appear to be selling their block rewards, with data showing that they sold 210 million DOGE between April 1 and 25. This selling pressure may indicate that miners are less confident in the price prospects of the cryptocurrency and can lead to a further decline in the DOGE price. Similarly, DOGE whales holding 100 million coins and above have strategically offloaded 440 million coins worth approximately $35.2 million over the last 20 days. A considerable reduction in miners’ reserves and whale investors can contribute to a decline in the price of the cryptocurrency. According to IntoTheBlock’s Break-Even Price distribution data, DOGE bears will likely force a price downsizing to $0.076, which remains the last major support before further downside can continue. But the 164,000 addresses that bought 13 billion DOGE tokens are expected to offer considerable support around the $0.076 mark. If that support caves, then the DOGE price will likely drop further toward its next resistance zone at $0.069. However, bullish pressure from another 415,000 addresses holding 48 billion coins could stop the slump at this support level. The bulls can negate this pessimistic narrative if the DOGE price can rise beyond $0.082. The next resistance level will need to overcome a mammoth 734,000 addresses that hold 19.20 billion DOGE at an average buy price of $0.11.
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