In light of data from IntoTheBlock, it has become evident that the scale of whale activity behind the scenes of the popular meme cryptocurrency Dogecoin (DOGE) has increased significantly over the past 24 hours. However, there is one significant caveat to be noted at the outset.
The volume of large transactions with Dogecoin increased by 73.53% and totaled 14.75 billion DOGE. In monetary terms, this equates to a growth from $938 million to $1.67 billion. It should be noted that only transactions of a minimum value of $100,000 have been included in the analysis.
On initial examination, the statistics appear encouraging, with the surge in trading activity by whales contributing to significant volatility. However, a closer analysis reveals that the majority of these whale transactions were in fact aimed at selling DOGE, rather than buying.
More data, more problems
This is evidenced by the volume of inflows minus outflows pertaining to addresses that represent at least 0.1% of the circulating supply of Dogecoin.
Over the past 24 hours, this figure has fallen to -245.44 million DOGE, representing a decrease of 260.81 million coins compared to the previous day. This represents the exact discrepancy between the volume of Dogecoin sold and purchased by the whales over the past 24 hours.
The significant decline was largely attributed to the substantial increase in DOGE outflows from whale wallets, which saw a 3,586% surge from 27.35 million DOGE to 980.8 million DOGE.
Meanwhile, the inflows reached 735.35 million DOGE, representing a 1,721% increase over the previous day but still falling short of the amount needed to surpass yesterday’s outflows.
