Dogecoin Price Forecast: Whale accumulation hints at potential DOGE recovery

Dogecoin (DOGE) price is stabilizing around $0.19 on Thursday, having corrected nearly 5% so far this week. On-chain data shows notable whale accumulation, hinting at a possible recovery in the days ahead. On the technical side, DOGE could recover toward $0.23 mark, provided the weekly support level remains intact.

Whale buys DOGE dips 

Santiment’s Supply Distribution data supports a recovery thesis for Dogecoin, as whale wallets bought DOGE tokens at recent price dips.

Whales holding between 100,000 and 1 million (red line), 1 million and 10 million (yellow line), and 10 million and 100 million 1INCH tokens (blue line) have accumulated a total of 280 million DOGE tokens from Monday to Thursday. This indicates renewed confidence among large investors and potential anticipation of a near-term price recovery.

Dogecoin Supply distribution chart. Source: Santiment

Additionally, on Monday, House of Doge, the corporate arm of the Dogecoin Foundation, has entered into a definitive merger agreement with Nasdaq-listed Brag House Holdings, a Gen Z-focused gaming and digital media platform. The partnership aims to drive mainstream Dogecoin adoption and expand its institutional use cases, underscoring the project’s long-term growth vision.

Dogecoin Price Forecast: DOGE could recover if the weekly support holds

Dogecoin price broke below the ascending trendline on October 10 and declined more than 25% the next day. However, DOGE found support around the weekly level at $0.18 on Sunday and recovered 15% by the next day. This recovery trend failed to be sustained as DOGE declined more than 7% until Wednesday. At the time of writing on Thursday, it hovers at around $0.19.

If the weekly support at $0.18 continues to hold, DOGE could extend the recovery toward the 50-day EMA at $0.23.

The Relative Strength Index (RSI) on the daily chart reads 38 below the neutral level of 50, indicating bearish momentum. For the recovery rally to be sustained, the RSI must move above the neutral level. 

DOGE/USDT daily chart

However, if DOGE faces a correction and closes below the weekly support at $0.18, it could extend the decline toward the next daily support at $0.15.