Currently, the popular meme-based cryptocurrency Dogecoin is going through tough times. Dogecoin whales are also among these large investors; they can move large quantities of Dogecoin in a single transaction. The number of these big transactions had recently fallen by a shocking 88% and many were left wondering if Dogecoin’s price wouldn’t struggle on.
The peak in whale activity occurred in late 2024, especially in the months of November and December. Big investors were still active and checking out Dogecoin, and you see large transactions happening every once in a while here. However, since mid-November, whale transactions have sharply decreased. These big players were almost unsupported by February 2025 and with that, there were concerns about what this meant for the future of Dogecoin.
Ali Martinez from market analysts states that whale activity could be dropping due to big investors pulling back or transferring their funds to other regions. These whales have been providing stabilization and liquidity to this market on Dogecoin. Their big transactions are actually what keep the market from getting too unstable and driven by smaller retail investors. This might be the beginning of an increasingly volatile price trend that results in a drop in Dogecoin value.
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It is already struggling to remain at the price it is. For example, its price fluctuated a lot from December 2024 to early January 2025. However, whale activity kept declining, and the price range on the move became somewhat tighter, delimited by $0.262 and $0.268. The sideways movement indicates that the market is weak and that control has neither been taken by buyers or sellers.
In addition, its derivatives market is also hesitant. The trading volume has decreased slightly and the dogecoin contract opens have also decreased. According to this, traders are not sure about the future of Dogecoin, which is not clear with its price as it is not showing any clear trend.
More price drops of Dogecoin are on the cards if whale activity doesn’t pick up again or even more large investors leave. According to analysts, Dogecoin’s support levels are now weaker with key price levels between $0.22 and $0.18. If the price moves below this level, Dogecoin could see further losses whose prospects are already uncertain.
Also read: Raoul Pal’s Bold Bitcoin Prediction: Will BTC Hit $500K by 2025?
