DOGE holders try to protect the meme coin as Dogecoin price falls back to where it was a month ago

Dogecoin price took quite a hit over the last few days as the meme coin followed in the footsteps of the leader of cryptocurrencies, Bitcoin. However, surprisingly, DOGE investors did not jump shit and claim whatever profits they could but instead stood firmly to prevent a major crash.

Dogecoin investors hold back

Usually, after hitting peaks, DOGE holders tend to cash out before a streak of red candles is formed on the charts. Although this time around, Dogecoin investors decided to take the other route and instead decided to lean in on the altcoin even more deeply.

Dogecoin price between April 19 and April 23 fell by nearly a little more than 16.5% to trade at $0.0789 at the time of writing. This crash, at one point in the day, brought the altcoin back to the same price it was exactly a month ago.

Interestingly, the Relative Strength Index (RSI) also dipped slightly lower than its position from March 24 in the bearish zone, suggesting that some pessimism persists at the moment.

DOGE/USD 1-day chart

However, investors are attempting to subdue this by maintaining a bullish outlook for the meme coin. The network continued noting high interest from DOGE holders as new addresses rose to 4.49 million, preserving the streak which led to the addition of 230,000 investors this month.

But it is not just the new investors that are exhibiting bullishness as older Dogecoin holders are also consistently active at the moment. 

Addresses conducting transactions over the past three weeks have risen, bringing the active address ratio to an average of 1.8%, even touching 2.43% at one point. The ratio measures the number of active addresses against the total addresses holding a balance which currently stands at 4.49 million.

Dogecoin active address ratio

Furthermore, as always, whales continue to play an important role in DOGE’s performance. As the Dogecoin price fell, cohorts holding a balance of 1 million to 10 million, DOGE began accumulating the meme coin. In the span that the altcoin dipped by 16.5%, these whales amassed more than 80 million DOGE worth over $6.3 million.

Dogecoin whale activity

Such actions tend to prevent larger crashes and support quicker recovery for the digital asset, which is quite necessary for Dogecoin price. This is because, unlike other altcoins, DOGE is yet to mark a new high for 2023 and for the same it would need to breach the barrier at $0.0959.