On-chain Data and Price Action
Dogecoin’s price is struggling to break past the $0.29 resistance level, with large holders playing a key role in preventing deeper declines. On-chain activity shows mixed signals: while some whales have been de-risking, others have made significant accumulations. Notably, institutional or high-net-worth wallets purchased 310 million DOGE within 48 hours at the end of July, providing temporary support amid broader market uncertainty.
Despite these large buys, DOGE has faced selling pressure around the $0.255 level, and momentum indicators like the RSI suggest weakening buyer interest in the short term. This has resulted in a consolidation pattern where whale activity defines the trading range preventing sharp crashes but also lacking the momentum for a sustained upward move.
Implications
Key levels to monitor include resistance at $0.29 and support at $0.255. A break below this support could open the door to a decline toward $0.20.
For treasury managers with memecoin exposure, whale activity offers some protection against sudden downturns, but overreliance on these large players introduces concentration risk. Traders should continue tracking whale-driven liquidity signals, as large transfers can significantly impact leverage and funding rates in perpetual markets.
While rapid rebounds have followed major accumulations in the past, the market remains vulnerable to large block sales that could trigger sharp pullbacks. The near-term direction will likely depend on whether whales resume accumulating or continue reducing their positions.
The confirmed purchase of 310 million DOGE in late July underscores the influence of large holders providing stability but also contributing to uncertainty about Dogecoin’s next significant price move.
