Dogecoin Drowns as SHIB Whale Surfaces

The DOGE price slipped 25% from last week’s high after a mysterious Shiba Inu billionaire moved his SHIB tokens, stoking crash fears. Dogecoin (DOGE) is unchanged at $0.269 this morning and down around 4% this week. However, Dogecoin’s current market cap of $35.5 billion cements its place as the 9th most valuable cryptocurrency behind Polkadot (DOT).

Shiba Inu (SHIB) emerged as a bonafide threat to DOGE’s meme-coin crown in October. The SHIB token surged almost 1,000% to a $51b market cap last month, briefly flipping DOGE in the process. As a result, Dogecoin fought back, clawing its way to a 7-week high.

SHIB euphoria peaked when it came to light that a lucky punter had turned an $8k investment into a staggering $5.7 billion. Incredibly, the wallet holding the tokens had been untouched for months. Nonetheless, profit-taking towards the end of last month forced SHIB down 35%. At the same, the Dogecoin price jumped as realized profits from SHIB rotated into DOGE.

Shiba Inu Whale

However, almost $3 billion of SHIB left the wallet yesterday, causing the price to drop a further 20%. Subsequently, the DOGE price has lost a potential bullish catalyst. Logically, if Shiba Inu collapses under the weight of colossal liquidation, it will dampen sentiment towards meme-coins. Furthermore, it could leave investors with less capital to fund future Dogegoin rallies.

Dogecoin Price Analysis

The daily chart shows the DOGE price is trending sideways in a broad channel between $0.200 and $0.350. Above the market, the 200-Day Moving Average at $0.2860 offers resistance. Whereas the 100-DMA at $0.253 provides support.

In my opinion, sideways is the path of least resistance until a catalyst arrives to force the price out of the range. The obvious conclusion is that the SHIB whale moved the tokens to sell them, which I consider bearish for the DOGE price.

See also

However, ‘obvious’ very rarely works out in crypto trading. And for that reason, I remain open-minded as to where Dogecoin heads in the immediate future. Whilst I am unsure of the price, I am sure interested to see which meme-coin claims top-dog status.

DOGE Price Chart (daily)

DOGE price

For more market insights, follow Elliott on Twitter.

Read Full Article

Latest articles

Weekend Volatility Awakens Bitcoin Buyers, Active Addresses

Following the volatility of the weekend, Bitcoin holders seem to have woken up as active addresses break one million. Number Of Active Bitcoin Addresses...

Crypto Analyst Says Bottom Is In for Two Altcoins, Predicts V-Shaped Recovery for Bitcoin and Ethereum

A popular crypto analyst and trader says several crypto assets on his watch list have survived the recent market-wide pullback and are now...

Hathor Network: Building a Scalable Blockchain Infrastructure for a Decentralized Solution

GEORGE TOWN, CAYMAN ISLANDS / ACCESSWIRE / December 8, 2021 / The world has witnessed a number of innovations in the past decade,...

Dogecoin bears leave the scene as DOGE rises towards $0.24

Dogecoin price stabilizes...

Related articles

Leave a reply

Please enter your comment!
Please enter your name here