Dogecoin (DOGE) receives major attention ahead of the US presidential inauguration as whales aggressively double down their acquisitions, per a CNF report. According to data shared by renowned analyst Ali Martinez, a whopping amount of 200 million DOGE has been acquired by whales in the last 48 hours. This has increased the acquisition of wallets holding between 10,000,000 and 100,000,000 DOGE to 410 million DOGE ($140 million) in just seven days.
Whales have bought 200 million #Dogecoin $DOGE in the last 48 hours! pic.twitter.com/vYSI3C2cUs — Ali (@ali_charts) January 16, 2025
Cumulatively, this category of whales holds an amount of 22.54 billion DOGE, marking their highest balance since February 2016. Meanwhile, there has been a general increase in DOGE wallets by 29,000, according to a CNF report. Explaining the impact of these activities on the market, analysts pointed out the “shortage effect” of large acquisitions and the subsequent upsurge of the asset. According to our research, DOGE currently appears undervalued as its Market Value to Realized Value (MVRV) ratio reads negative 1.76. Technically, this presents a buying opportunity and a potential price appreciation.
Source: Santiment
Looking into DOGE’s Chaikin Money Flow (CMF), we also found an increasing momentum with an upward trend of 0.03. Based on our analysts’ interpretation, there is a significant level of buying pressure, with more money flowing into the market than flowing out. According to our market data, DOGE is currently trading at $0.38 with a weekly gain of 17%. Fascinatingly, its market cap has increased to $57 billion from the $53 billion recorded a week ago. DOGE’s bullish trend is also supported by the current volume of $4.17 billion, which has increased by 3.58% in the last 24 hours. [mcrypto id=”630826”]
Delving deeper into its price behavior, analysts found a crucial psychological level at $0.40. Breaking above this level could send DOGE to $0.45. However, failure to hold above the current level could send the price back to $0.35. Meanwhile, the multi-month projection has been fixed at $3.
source: Ali Martinez
Explaining this estimate, analysts highlighted a movement that mirrors the 2021 cycle. At that time, DOGE embarked on a massive pullback before staging its run to an all-time-high price of $0.73. Supporting this position is an analyst identified as Trader Tardigrade. According to him, DOGE is forming a bullish trend, with the upper resistance suggesting a surge to $3.63. Meanwhile, he argues that this is a conservative prediction. Per his analysis, a successful imitation of the previous cycle could send the price to $30. Adding to this, analyst Master Kenobi disclosed that the $3.4 level is a more realistic target. This aligns with analyst Cephii’s prediction recently mentioned by CNF in a report.