Whales acquired 270 Million DOGE in the last three days, suggesting heightened activity and a potential rebound from the recent decline in price.
This surge in whale transactions correlated with noticeable price fluctuations in Dogecoin, indicating their significant influence on the market.
Historical data often showed that such buying by whales preceded rallies, implying a potential bullish outlook for DOGE.
This reflected these large-scale buys coincided with uptrends, reinforcing the likelihood of continued price increases if this trend persists.
Whale-driven market dynamics, especially in high-volume trades, can catalyze further buying pressure, possibly leading to a broader market rally for DOGE.
The Power of Three Pattern on DOGE Price
Analyzing the daily chart for Dogecoin showed a crucial trading pattern that mirrored the Power of Three (PO3) strategy.
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This strategy involves stages of Accumulation, Manipulation, and Distribution which played out over several weeks.
The Accumulation Phase began in early November, marking a period of relative stability and consolidation, where the price movement was minimal, suggesting that investors were quietly buying up DOGE without driving the price up significantly.
Into mid-December, there was a noticeable shift to the Manipulation Phase. Abrupt price changes in this phase were efforts to shake out weaker hands, possibly through engineered price dips, to test the resolve of newer investors.
The final phase, the Distribution Phase, is expected to follow. Historically, this phase could lead to price increase if it mimics past patterns, with a rally that could approach or even exceed previous ATHs, with speculative targets reaching as high as $1.
With Dogecoin’s recent activity, there was a speculation of entering a bullish trend which could be fueled further by social media attention and broader market movements.
The analysis suggested a strategic entry point for those looking to capitalize on DOGE’s cycles.
Market Sentiment and Possible DOGE Bank Launch
Smart money sentiment towards Dogecoin was positive at 1.42, contrasting with the crowd’s slight bearishness at -0.32.
This divergence suggested that while general sentiment was cautious, experienced investors were optimistic about DOGE’s future.
If smart money continues to accumulate, DOGE price could see upward momentum, potentially pushing towards the $1 target.
This bullish outlook from smart money, coupled with a stabilization or shift in crowd sentiment, would be crucial for sustaining a rally.
This scenario reflected a growing confidence which could catalyze broader market interest and investment in Dogecoin, contributing to its climb towards the anticipated price level.
Furthermore, the launch of Choise.ai’s (CHO) MemeBank featuring Dogecoin could significantly impact DOGE’s market position.
With functionalities like custom wallets and debit cards, it could enhance user engagement and utility, making DOGE more integral in daily transactions.
The MemeBank’s strategy to burn CHO tokens with every transaction could also support the token’s value by reducing its supply.
This increased utility and reduced token supply could drive DOGE’s demand, positioning it closer to the $1 price target.
