Dogecoin Surges 77% Amidst Positive Market Sentiment and Increased Whale Accumulation
Dogecoin (DOGE) has experienced an impressive 77% surge this week, benefiting from the overall positive sentiment prevailing in the cryptocurrency market. This recent upswing correlates with a notable rise in DOGE accumulation among major investors, commonly referred to as “whales.”
There has been a noticeable uptick in the number of addresses holding more than 100,000 DOGE since January, while a slight decline is observed in addresses containing over 1 million DOGE. This indicates a trend where traders, particularly those on exchanges, are increasingly accumulating DOGE rather than engaging in active trading.
Moreover, Dogecoin’s surge in price mirrors historical patterns observed prior to previous Bitcoin halving events. With the upcoming halving scheduled for April 19, 2024, there is heightened interest in DOGE as traders seek alternative investment opportunities, anticipating potential short-term gains leading up to the event and its potential impact on the broader market. This echoes similar price surges witnessed before the last two Bitcoin halvings, during which DOGE registered gains of 200% and 50%, respectively.
Similar patterns are evident in other meme-inspired cryptocurrencies such as Shiba Inu, Pepe, and Bonk, all of which have recorded substantial increases in value in anticipation of the halving. This suggests a broader rally among meme coins, possibly driven by expectations of increased market activity surrounding the Bitcoin halving event.