Dogecoin reclaimed the $0.076 territory on Wednesday, November 8, as DOGE price gains over the last 30-days hit 25%.
On-chain data shows that crypto whales have bought $1.7 billion worth of DOGE over the past month, sparking hopes that it could soon retest the $0.1 area.
The Aggregate data from the Order Books of prominent crypto exchanges show that the Dogecoin bulls have placed active orders to buy another 850 million DOGE around the current prices.
Dogecoin (DOGE) price hit a 3-month peak of $0.076 on Wednesday, as the bulls extended their 30-day gains to 25%. On-chain analysis highlights how growing market demand could impact DOGE price movement in the coming days.
Crypto Whales Invested $1.7 Billion in Dogecoin Over the Last 30-days
Dogecoin price has emerged as one of the top-performing assets in the memecoin market this week. With 25% over thee last 30 days, DOGE has outperformed the likes of PEPE and Shiba Inu (SHIB) on the top gainers’ chart. On-chain data shows that the could bulls extend the rally toward the elusive $0.1 territory.
According to data from IntoTheBlock, Dogecoin has benefitted immensely from crypto whales investors switching attention to the memecoin markets in the recent weeks.
The chart below shows that the total DOGE in custody of whales holding atleast $100,000 worth of it has increased from $7.65 billion to $9.35 billion between October 8 and November 8. This implies that the crypto whales have invested an additional $1.7 billion in DOGE within the past month.
Dogecoin (DOGE) Whales Balances | Source: IntoTheBlockThe whales balances chart above, tracks the changes in the number of coins held by large insitutional investors. The blue trend line above illustrated how Dogecoin whales increased their holdings by $1.7 billion as the crypto market rally rages on.
Typically, such a significant increase in whales’ holdings in a vital indication that large institutional are growing confident in DOGE’s short-term price prospects.
Retail Market Participants Have Also Started Buying
In addition to the growing demand from crypto whales, on-chain data further emphasis that Dogecoin retail market demand has now exceeded supply.
The latest readings from the Aggregate Order Books data of 10 crypto exchanges including Binance and Coinbase, reveals that the bulls have placed active orders to buy 872 million DOGE around the current prices.
Meanwhile the bears have only placed a total of 810 million DOGE up for sale.
Dogecoin (DOGE) Aggregate Exchange Order Books | Source: IntoTheBlockThe Aggregate Order Books chart represents the summation the all active buy/sell orders that traders currently have listed across recognized crypto exchanges. Typically, when the buy-orders exceed the sell orders as observed above, it implies a the bullish momentum is currently dominant across the Dogecoin markets.
Hence, with 62 million fewer DOGE coins currently up for sale relative to demand, the currently buyers may be forced to increase their bids to get their orders filled quickly. This could inadvertently drive Dogecoin price further toward the $0.1 area in the coming weeks.
DOGE Price Prediction: Slow March to $0.1?
Meanwhile, the daily timeframe technical analysis indicators also affirms this bullish stance.
As of November, Dogecoin price is trading at $0.075, Ethereum Exponential Moving Average (EMA20) stands at $0.68, whereas the Simple Moving Averge (SMA-20) is at $0.067.
With both the EMA and SMA positioned below the current Dogecoin price, it signifies a prevailing short-term bullish sentiment.
Hence, if the bulls seize the momentum as predicted, DOGE will face initial resistance situated ath upper bollinger band around $0.77. However a decisive upswing above that level could see Dogecoin price reach a new 2023 peak around the $0.82 area.
Dogecoin (DOGE) Price Forecast, November 9 2023. | Source: TradingViewConversely, the bears could invalidate that bullish prediction if DOGE fails to defend the inital support level at the lower Bollinger band at $0.060. Although, unlikely due to the current level of whale demand, but a larger downswing below $0.060 mark could open the doors to further reversal toward $0.05.