DOGE faces potential decline as major whales offload 120M coins

TL;DR

• Dogecoin changes hands near $0.075 on Monday, concluding five straight weeks of downward movement.
• Addresses holding between 10 million and 100 million DOGE have unloaded 120 million coins since Thursday.
• The upcoming primary support rests near $0.068, while a potential rebound faces resistance between $0.079 and $0.090.

Dogecoin (DOGE) works to find stability on Monday, hovering near $0.075 following five consecutive weeks of losses.

While the meme token has drawn dip-buying activity from smaller whales, larger investors are moving in the opposite direction, depriving the market of any definitive confirmation that the downward trend has concluded.

This division in whale activity coincides with subdued on-chain metrics as DOGE continues to sit beneath its primary moving averages. With selling pressure still present, the $0.068 support threshold may soon come into play.

Large Dogecoin whales sell while smaller holders buy the dip

Supply Distribution figures from Santiment reveal that wallets containing 10 million to 100 million DOGE cut their aggregate balances by approximately 120 million coins beginning Thursday. This offloading indicates that select major investors are mitigating risk as prices continue to drop.

Conversely, not all large holders are liquidating. Throughout this same timeframe, accounts holding 100,000 to 1 million DOGE alongside those with 1 million to 10 million DOGE accumulated a combined 100 million coins. These more modest whale groups demonstrate an appetite for purchasing at reduced prices, even as the wider market direction stays bearish.

These acquisitions have fallen short of neutralizing the distribution coming from top-tier holders. Should this selling persist, DOGE may struggle to gather sufficient momentum for a lasting recovery.

Market summaries from CryptoQuant present a similarly cautious outlook. Both spot and futures platforms highlight significant whale order flows, heightened trading volume characterized as overheated, and a prevalence of selling activity.

Put together, these indicators imply that market participants remain more inclined to liquidate positions than chase a bounce. While they do not guarantee a deeper correction, they clarify why Dogecoin faces obstacles in securing sustained buying demand.

Dogecoin stays below key moving averages

DOGE trades close to $0.075 on Monday, remaining beneath its 50-day Exponential Moving Average (EMA) of $0.082, its 100-day EMA of $0.083, and its 200-day EMA of $0.090.

These marks create a sequence of overhead hurdles that bulls must clear before the technical outlook can brighten.

A descending trendline acting as resistance near $0.079 serves as the initial test. The Relative Strength Index (RSI) sits in the mid-30s, signaling flat momentum without indicating an imminent turnaround.

Simultaneously, the Moving Average Convergence Divergence (MACD) hovers close to zero, exhibiting minimal directional strength.

Surpassing the downward trendline at $0.079 would offer a preliminary indication that buyers are reclaiming territory. DOGE would subsequently encounter the 50-day EMA at $0.082 and the 100-day EMA at $0.083, where renewed selling could emerge.

Additional barriers rest at $0.088 alongside the 200-day EMA at $0.090. Only a more forceful rally past these benchmarks would bring the distant $0.1027 obstacle into focus.

Looking downward, $0.068 marks the next critical support level to monitor. A daily close below this threshold would further degrade the technical structure and expose DOGE to deeper declines, though the provided data does not outline a specific price target underneath.

At present, the contrast between whale segments provides little reassurance to bulls. Smaller investors are absorbing the dip, but larger accounts continue to distribute tokens, keeping the broader technical bias bearish. The ability of DOGE to defend the $0.068 mark may dictate its subsequent major direction.