Emily Walker
Recent on-chain activity reveals that a major Dogecoin holder has transferred a significant amount of DOGE to Coinbase, which might indicate a downturn in the coin’s price.
Significant Dogecoin Transfer to Coinbase
Data from Whale Alert highlights that two large DOGE transactions have taken place within the last 24 hours.
These transactions seem to be linked to large-scale investors, often referred to as whales, who possess substantial quantities of the cryptocurrency, influencing market trends.
The actions of these prominent players can provide insights into market sentiment, although their intentions are often speculative due to the anonymity afforded by blockchain transactions. However, when a wallet is associated with a known exchange, it does provide some clarity for analysis.
One major transfer from the past day fits this category. Here are the relevant details.
The transaction originated from an unidentified wallet, suggesting it was likely from an individual holder. In contrast, the receiving wallet is tied to the Coinbase exchange.
This whale transferred a total of 197,606,395 DOGE to the exchange, valued at nearly $84.6 million at the time. Such transfers from personal wallets to exchange wallets are termed exchange inflows, typically signaling potential selling activity, which can be bearish for the coin’s value.
Though this substantial transfer may not directly impact the price, it could reflect the whale’s desire to liquidate assets now that the memecoin’s momentum has waned.
Another notable transaction today involved a transfer of 130 million DOGE (equivalent to $56.2 million) between two unidentified wallets. The purpose of this transaction remains unclear.
This could demonstrate a selling action via an over-the-counter (OTC) arrangement or simply the movement of funds to a new wallet address.
Current DOGE Trading Price
As of the latest update, Dogecoin is trading around $0.42, having increased by 16% over the past week.