A crypto whale has made headlines today after transferring a massive amount of DOGE tokens, up to the tune of 204 million from the cryptocurrency exchange Binance. This move has raised speculation among the Dogecoin community about the possible reason and impact on the value of the token.
Investors with a large amount of assets in their portfolio often move their holdings around for various reasons, but this is notable because it coincides with a dip in the price of the asset.
204 million Dogecoin (DOGE) on the move
WhaleAlert, an on-chain large transaction tracker, has revealed that it had spotted over 204 million DOGE tokens moving from the aforementioned centralized crypto exchange to a wallet labeled “unknown.” According to the data provided, exactly 204,588,737 (204.5 million) DOGE valued at $35,172,835 ($35 million) were transferred from Binance to the anonymous wallet.
🚨 🚨 204,588,737 #DOGE (35,172,835 USD) transferred from #Binance to unknown wallethttps://t.co/iya9yJkfWt
— Whale Alert (@whale_alert) April 5, 2024
This development immediately birthed a wave of speculation among crypto enthusiasts anticipating a possible price rally as the accumulation could indicate a growing confidence in the memecoin. However, this doesn’t appear to be the case, at least in the short term as the price of the token has dipped by over 2% since the transfer.
In the meantime, the market at large made predictions about DOGE’s possible rebound following the BTC halving and thought the accumulation was partly consistent with this. DOGE whale accumulations have been rising in tandem with the increase in on-chain whale activity. This has investors excited about a timely pump coming after this healthy correction is finished.
Dogecoin price reaction
According to data from CoinMarketCap, Dogecoin has been trading in the red zone in the last 24 hours. Per the chart, the coin has witnessed a 3.17% dip to $0.1753 during this time. In addition, the trading activities involving the token have also dropped significantly over the last day. The data shows that the trading volume for DOGE has slipped by 18% to $2,060,183,898 ($2 billion) and the market cap now rests at $25,141,770,806 ($25 billion) representing a 3% drop in over the last day.
Dogecoin, the largest memecoin by market cap, has been one of the favorite tokens among investors over the years exhibiting occasional exponential rises in value that have succeeded in cementing its position among the top ten cryptocurrencies in the market. However, the question of Dogecoin’s potential to reach $1 still remains in the balance.
