As the price rises, Dogecoin again reminds everyone of its presence, breaking the $0.40 threshold for the first time in more than three years. This notable surge demonstrates DOGE’s continued appeal and speculative power, which has delighted both small and large cryptocurrency investors.
Along with Dogecoin’s rise, there has been a noticeable change in wallet dynamics over the past month. Due to the surge in retail interest, there are now almost 75,000 more wallets with less than 100,000 DOGE. However, larger investors, particularly the shark and whale wallets, are reducing their holdings, with a net reduction of 350 wallets over the past four weeks, while smaller investors are apparently accumulating DOGE.
Notably, this trend appears to have reversed in the last few days, with 108 larger wallets returning to DOGE, which may have contributed to the latest rally. Judging by the chart, the price of Dogecoin has risen almost vertically, breaking through previous resistance levels. The coin quickly topped $0.40, a level not seen since early 2021, thanks to heavy buying pressure.
Because exponential moving averages point sharply upward, they flatten out in favor of the uptrend. However, given that extreme rallies can lead to a quick pullback, some caution is advised as the DOGE Relative Strength Index (RSI) approaches overbought territory.
Dogecoin will face serious challenges in the coming days. A steady accumulation of both small and large stakeholders would be ideal to sustain this rally. A possible peak in growth could be indicated if large investors, especially whales, begin to sell off shares again. However, DOGE could see more growth if retail enthusiasm continues and larger wallets return.
