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Dogecoin price stumbles 3% amid suspicious moves among DOGE whales

  • Dogecoin price has displayed massive volatility as retail traders react to spooky moves among whales.
  • Around 9.4M DOGE flowed from oblivion to a top 20 wallet on May 24, a fortnight after 20M DOGE moved between unknown wallets.
  • As FUD spans the market, Dogecoin price action show a lack of buyer participation, with 10% losses in sight.

Dogecoin (DOGE) price is trading with a bearish bias amid growing Fear Uncertainty, and Doubt (FUD) in the market. The memecoin has displayed a rather dull price action since the first week of May, a move that led to a fade in investor confidence in what many had hoped would be a big player in the crypto scene.

Also Read: Dogecoin price treads water, knocking investor confidence, DOGE sells

Dogecoin price eyes for 10% losses

Dogecoin (DOGE) price remains bearish after three consecutive weeks, consolidating within a tight range as bulls and bears fight for control. For meme tokens like Dogecoin and Shiba Inu (SHIB), the current bearishness appears to be associated with the US debt ceiling, which continues to materialize rather negatively for higher-risk assets.

Accordingly, several tech stocks, meme stocks, and other more speculative risk assets are selling off as the prospect of a near-term crisis weighs on speculation around approaching interest rates and valuations. The gloomy outlook has been invigorated by recent moves among whales that have fueled the FUD further.

Among the two cases that have stood out and reported by Dogecoin Whale Alert is the March 11 transfer of 20 million DOGE worth approximately $1.45 million between two unknown wallets at an average fee of $1.19.

In the latest report, the same Twitter account has reported up to 9.399 million DOGE worth around $663 million, moving from an unknown wallet to a top 20 wallet.

At the time of writing, Dogecoin price is combating selling pressure from the 50-, 100-, and 200-day Exponential Moving Averages (EMA), which continue suppressing any upside for DOGE. Therefore, an increase in selling pressure could see the meme token drop lower, potentially revisiting the March 11-12 lows around $0.062.

This negative outlook is merited by the Relative Strength Index (RSI), which had tipped downward to show buyers leaving the market. Similarly, this momentum indicator had signaled a call to sell DOGE, which, could mean more losses for the altcoin if investors heed.

Moreover, the Parabolic SAR had also flipped above the Dogecoin price, which is often interpreted as a bearish sign.

DOGE/USDT 1-Day Chart

On the other hand, if buyer momentum overpowers the bulls, Dogecoin price highslows around $0.088. A decisive daily candlestick close above this level would invalidate the bearish thesis.

Further north, Dogecoin price could tag $0.096, denoting a 40% climb from the current position.

Author

Lockridge Okoth

Lockridge is a believer in the transformative power of crypto and the blockchain industry.

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