Dogecoin (DOGE) Price at Risk as Crypto Whales Make This Suprise Move  

Insights:

• Dogecoin’s (DOGE) opening price for Wednesday, December 27, stood at $0.091, down 15% from its monthly peak of $0.11 recorded on Dec 11.
• On-chain data trends show that the Dogecoin Whale Transaction Count has been in a steep decline since mid-December. 
• The Bollinger Band Technical indicators highlight the key support levels DOGE bulls must hold to prevent a major price downswing. 

Dogecoin (DOGE) opening price for Wednesday, December 27, stood at $0.091. On-chain analysis reveals how a drastic shift in whale investors’ trading activity has culminated in a 15% price decline over the last two weeks.

Can the bulls regroup to avert a major Dogecoin price downswing? 

Dogecoin Whales Have Reduced their Trading Activity by 76%  

Dogecoin made a positive start to December, leading the mega-cap memecoin markets with a $2.6 billion increase in it market capitalization in the first 10 days of the month. However, since hitting the 30-day peak price of $0.11 on Dec 11, the bullish momentum has tapered off significantly. 

Interestingly, an in-depth inquest into the on-chain data trends reveal that a steep decline in Dogecoin demand among crypto whales. 

The Santiment chart below illustrates that Dogecoin recorded a monthly peak of 120 Whale transactions on Dec 6. But since then, it has declined sharply, with just 24 Whale Transactions recorded on Dec 26. 

Whale Transaction Count tracks the daily number of transactions exceeding $100,000. This essentially serves a proxy for tracking real-time changes in large investors’ trading activity. 

A decline in the Whale Transaction count, as observed above, often impacts a cryptocurrency’s price negatively. It denotes a growing bearish sentiment and low demand for Dogecoin among large investors over the past 20 trading days. 

And based on the direct correlation to price action, this 76% drop in whale demand appears to be a major factor behind the Dogecoin’s 15% pullback from the Dec 11 local top. 

Dogecoin Price Forecast: Possible Decline Towards $0.07? 

From an on-chain perspective, Dogecoin price remains at risk of a further downside, unless there’s a significant boost in whale transactions. 

In the daily timeframe, Bollinger Band technical indicators also confirms this bearish stance. Its currently shows that with DOGE currently trading at $0.093, it has now dipped below the middle-band (SMA) of $0.95. This allignment often indicates a growing bearish momentum.  

However, for the bulls to validate the $0.07 Dogecoin price forecast, they must first scale the support buy-wall around the lower Bollinger band at $0.084. 

Conversely, for the momentum to flip bullish, the XRP bulls will have to reclaim the $0.10 territory.