Dogecoin whales exit, shedding 9% of total supply

According to IntoTheBlock, a market intelligence platform, there have been some significant changes in the Dogecoin community in the last year. In particular, there is a decline in the ‘whales’ – the addresses that own 1% or more of all Dogecoins in circulation. This could be viewed as a bearish sign for the cryptocurrency, which is nicknamed memecoin because it was born out of an internet meme.

Analyzing the data it is possible to conclude that large holders of Doge have cut their stake down from 45.3% to 41.3% in a year. These individuals have large quantities of tokens, and their actions help define the market and its trends. This decline in their stake, which is nearly 9% of their overall portfolio, may also suggest that some of the large investors simply lose interest in holding Dogecoin. This could have had a bearing on its price movement in the future, and hence, this could have had a negative effect on its price movement.

On the other hand, it reveals the transfer of Dogecoin to people with relatively lower stakes in the asset, which might improve the impact on the market. According to IntoTheBlock, these smaller investors can be divided into two categories: small investors who own between 0.1% and 1% of the total supply (approximately equal to 21 percent of all DOGE) and other small investors who own less than 0.1% of the total supply, including 37 percent of all DOGE. This shift towards a broader distribution of ownership could increase the health and solidity of the Dogecoin network since its dependence on just a few key players is reduced.

Also, using IntoTheBlock, it is possible to obtain some valuable information about the Dogecoin blockchain in comparison with other projects based on meme tokens. Dogecoin is still the most dominant memecoin in terms of the number of traders and daily transaction volumes even when large investors have started to reduce their holdings. 

Curiously, it is not the tokens like Shiba Inu or PEPE in close proximity to Dogecoin as to the criteria above but Degen, with the market cap, which constitutes just 0.79% of Dogecoin’s market cap. This indicates that Dogecoin occupies a rather large share of the cryptocurrency market and remains popular to this day, regardless of the volatility of the modern crypto market.

The latest statistics revealed that Dogecoin has fallen by more than 11 percent in the last week, and it is trading at $0.122. This price decrease is in line with the general market behavior of other large players, which points to a phase of turbulence and, perhaps, some doubt among shareholders about the further development of this meme cryptocurrency.

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The transformations occurring in the Dogecoin community, which are based on the redistribution of ownership and the concept of constant participation in the blockchain, provide a comprehensive picture of its current state and development in the active and dynamic environment of digital currencies.

Harsh Chauhan

Harsh Chauhan is an experienced crypto journalist and editor at CryptoNewsZ. He was formerly an editor at various industries and has written extensively about Crypto, Blockchain, Web3, NFT and AI. Harsh holds a Bachelor of Business Administration degree with a focus on Marketing and a certification from the Blockchain Foundation Program. Through his writings, he hold the pulse of rapidly evolving crypto landscape, delivering timely updates and thought-provoking analysis. His commitment to providing value to readers is evident in every piece of content produced.

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