u.today
Just yesterday, the price of Dogecoin ($DOGE) was rising, and whales were stuffing their bags with the popular meme cryptocurrency, as today the situation has changed dramatically.
As indicated by on-chain data from IntoTheBlock, the netflow of $DOGE to wallets of large holders has decreased from 369.46 million tokens to -88.01 million. To put this into perspective, in the past 24 hours, 457.47 million $DOGE, which is equivalent to around $46 million, has flowed out from the wallets of big holders.
As a general rule, any holder with more than 0.1% of the circulating supply is considered a large holder, or whale. The net change in inflows and outflows for these addresses is tracked by the Large Holder Netflow metric. When declines in netflow occur, they signal a significant reduction in holdings or selling activity by large investors.
These dips indicate a change in bias as major players reduce their positions, which often precedes a bearish trend.
Pump, dump or bump?
Interestingly, just the previous 48 hours saw an almost 1,500% surge in netflow, while the next day saw a sell-off. This is further confirmed by separate metrics of inflows and outflows.
Thus, in the period under review, the figure of inflows decreased by 85.6% to 66.21 million $DOGE. At the same time, the amount of Dogecoin flowing out of the wallets of major holders totaled 154.22 million $DOGE, which is 66% more than the day before.
As for the price of the meme cryptocurrency, it soared by 7% yesterday to $0.106 per DOGEbut then dumped by 4.2%. Later, it was also accompanied by a series of micro pumps and dumps, but generally this price action is nothing more than a chop.