Dogecoin Whale Dumps 100M DOGE—Will Prices Tumble Further?

Dogecoin (DOGE) is getting hammered as an unknown whale sent 100 million DOGE, worth $25.42 million, to Binance on Feb 20.

Whale Alert is tracking this and investors are getting spooked about the short term price direction.

Whale transactions can impact sentiment and this dump suggests decreasing confidence in DOGE. Over the last week DOGE has dropped 2% just like the broader crypto market. Traders are now watching on-chain signals to see if we are heading for more sell offs or accumulation.

Market Analysts Weigh in on DOGE’s Future

DOGE whales have “not done much buying or selling” aside from the dump. No other big sells have appeared but no big buys either. Lack of buying is indicating limited bullishness which can hinder upward momentum.

Key Observations:

• DOGE traded at $0.2533, reflecting a 0.3% daily dip.

• Weekly price action showed a 2% decline, with consolidation prevailing.

• Whales have not stepped in to accumulate DOGE despite lower prices.

Historically when whales are inactive during downturns it means either wait and see or anticipating more drops before re-entry. If this continues DOGE might struggle to find the buying pressure to rebound.

Will a DOGE ETF Turn It Around?

Despite the market jitters there is a growing hype around the potential approval of a Dogecoin ETF. NYSE Arca has filed a 19b-4 with the SEC to list and trade Grayscale’s proposed spot Dogecoin ETF. If approved that could bring in fresh institutional demand for DOGE and counteract the recent bearishness.

Factors that could influence DOGE’s price action:

• Regulatory Developments: SEC approval of a DOGE ETF could shift investor sentiment positively.

• Market Liquidity: Whale accumulation or further sell-offs will play a crucial role in price direction.

• Broader Crypto Trends: Bitcoin and Ethereum’s performance often dictate sentiment across altcoins, including DOGE.

For now, traders remain cautious as DOGE consolidates near its support levels. The next few weeks will be crucial in determining whether the meme coin can regain bullish momentum or face extended declines.