Dogecoin net flow spikes and whale activity point to a rally.
- Dogecoin’s exchange net flow increased by 10.5%, signaling possible price movement. Whale activity remains strong, with 57.86% of Dogecoin supply held by large investors.
Dogecoin [DOGE] is on the radar once again. According to the latest data from IntoTheBlock, its exchange net flow surged 10.5%. This adds more fuel to the possibility of a price rally in the near future.
Whale activity was on the rise, and an astonishing 73% of holders are currently in profit. But the real question is whether these can actually help DOGE make its run up to $0.12.
Dogecoin net flows on the rise
The 10.45% increase in the exchange net flow is indicative of a big swing in the Dogecoin market activity. Historically, when net flow increases, it means more coins in circulation, maybe due to increased buying or selling pressure.
Dogecoin’s recent surge may be used to point to growing interest among the market participants, possibly in expectation of an impending breakout in its price.
Source: IntoTheBlock
Big investors tighten their grip
Another critical on-chain factor for Dogecoin’s momentum is the recent rise in whale activity. Whales who hold more than $5 million worth of Dogecoin currently control 57.86% of the total altcoin supply.
This concentration level would indicate that major players believe long-term in Dogecoin.
When whales hold such a large portion of some asset, it usually results in positive market sentiment and increases the chances of a rally for its price.
Source: Santiment
73% of Dogecoin holders are seeing gains
Probably the most encouraging sign for DOGE’s future is that 73% of its holders are in profit. A high percentage of profitable holders usually creates a bullish atmosphere. It suggests that the majority of investors are reaping rewards.
This large proportion at profit boosts market confidence, which further encourages buying pressure.
Source: IntoTheBlock
Is Dogecoin ready to break out?
With the highly increased exchange net flow, strong whale activity, and extremely high percentage of profitable holders, Dogecoin is positioned for a potential rally. Whether or not $0.12 will be reached remains to be seen.
However, the data certainly paints a bullish picture for the future of the meme coin.
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