Dogecoin Price Analysis: Gigantic 1.4 Billion DOGE Purchase Raises Questions

The Dogecoin price has fallen to $0.1198 today , marking a 5.5% decline in 24 hours but a 12% increase in a week.

DOGE also remains up by a healthy 18% in a month, with the popular meme token also posting a 93% increase in a year.

Such increases come after whales increased their buying of the token, with the past week seeing large traders accumulate more than 1.4 billion DOGE within the space of 48 hours.

This points to an expectation that the meme token will have a strong end to the year, and potentially a very strong 2025.

Dogecoin Price Analysis: Gigantic 1.4 Billion DOGE Purchase Raises Questions

There’s some confusion regarding the 1.4 billion DOGE that whales have recently purchased.

This stems largely from one X-based influencer tweeting over the weekend that “ a whale just bought 1.4 billion DOGE .”

Such a claim goaded Billy Markus into a response, with the Dogecoin founder simply replying, “wat.”

However, it seems that the source of this claim was an earlier tweet from analyst Ali Martinez , who shared Santiment data showing that larger traders had accumulated over 1.4 billion DOGE – worth around $167 million – in 48 hours.

Yet such a volume includes multiple buys from multiple whales, meaning that no single traders was responsible.

As such, it would be very rash to conclude that something has fundamentally changed in DOGE’s market, or that a big whale is banking on a big rally.

Yet there’s still reason to be optimistic about Dogecoin, even if it has declined today.

Its chart below shows that, after a difficult few days, it could be about to rebound.

Source: TradingView

Its relative strength index (purple) has fallen to 30 this morning, an oversold position implying that traders have undervalued the token.

As with other coins, DOGE’s 30-period moving average (orange) is falling towards the 200-period average (blue), with the coin probably not bottoming out until the indicator finishes this decline.

Regardless, it’s good to see that Dogecoin’s trading volume remains high today at $1 billion, which does confirm the view that interest in it remains strong.

This is why it’s reasonable to assume that DOGE will be rallying again very soon, particularly with the wider market entering a more bullish phase.

The Dogecoin price could reach $0.2 by November, before reaching $0.4 by the New Year.