The Dogecoin Price Chart Shows a Rise as Whales Continue to Accumulate

Dogecoin is still under pressure this week as risk-averse sentiment dominates the crypto market and stock market. Dogecoin fell to $0.2200 on Tuesday, down 15% from this month's high. However, this decline could be the calm before the storm before a potential recovery. The Accumulation of Whales Is Still Ongoing One of the key indicators in fundamental analysis of cryptocurrencies is the activity of whales. Whales, or large investors, are often considered to be more sophisticated and experienced players in the market. Typically, whales will accumulate when they expect the asset price to recover and sell or short-sell when they predict the asset price will continue to fall. Recent data shows that Dogecoin whales are starting to accumulate. According to Santiment, addresses holding between 1 million and 10 million DOGE currently hold 10.56 billion, up from 10.48 billion on May 10. Similarly, wallets holding between 100 million and 1 billion tokens currently hold 25.86 billion coins, up from 25.53 billion at the beginning of this month.

Dogecoin Price Forms Bullish Flag Pattern

The daily chart shows that Dogecoin peaked at $0.2600 last week before trending down to $0.2200. It has now formed a bullish flag pattern, a widely recognized continuation signal. This pattern has a strong upward move followed by a consolidation phase resembling a flag being raised. Typically, it leads to a strong breakout. Before this flag appeared, the price of DOGE also formed an inverted head and shoulders pattern. The head at $0.1298, the lowest point on April 7, while the shoulders at $0.1520. Dogecoin is still above the 50-day and 100-day exponential moving averages. Based on this setup, this coin has the potential to break out and may test the high of $0.4820 in November 2024, a move that would represent a 120% increase from the current level. DOGE Price Forms A Giant Speaker On The Weekly Chart

The weekly chart also supports a bullish outlook, showing that DOGE is forming a huge megaphone pattern, defined by two upward trend lines and divergence. In this case, the lower trendline connects the lowest swing points since January 2022, while the upper trendline connects the higher levels since January 2023. This structure often precedes increased volatility and broader price appreciation potential. If a breakout occurs, the first key level to watch will be $0.4820. A decisive move above that level could pave the way for a run towards the psychological $1.00.