Dogecoin has been moving in a choppy sideways range with quick spikes and dips, showing uncertainty among traders. Buyers pushed the price up several times, but each rise was met with equally strong pullbacks. Overall, the market is lacking a clear trend, keeping DOGE stuck around the $0.145 area.
DOGE Price Chart, Source: CoinMarketCap
The data shows that Dogecoin whales holding 10 million to 100 million DOGE have significantly reduced their positions over the past month. According to analyst Ali Martinez, these large holders offloaded or redistributed around 7 billion DOGE, a move that aligns closely with the persistent decline in price during the same period. Whale behavior often acts as a leading indicator, and their steady reduction in holdings suggests diminishing confidence or a strategic repositioning ahead of expected market volatility.
The chart illustrates how the distribution curve for these whale addresses has been trending downward while DOGE’s price followed a similar trajectory. This synchronized movement typically signals selling pressure coming from the largest wallets, which can weigh on market sentiment and accelerate a bearish trend. As whales reduce exposure, retail participants often react to the selling activity, amplifying downward momentum.
Source: X
Martinez highlights that such a sharp decline in whale-controlled supply can either indicate profit-taking, risk management, or anticipation of lower prices. While this trend reflects clear short-term weakness, it may also set the stage for a potential stabilization phase once whale distribution slows and new demand emerges.
DOGE Shows Early Reversal Signs as MACD Flips Bullish
The recent 4-hour Dogecoin price action shows a notable shift in momentum after a prolonged decline. Price had been trending lower under a descending resistance line, reflecting consistent selling pressure. However, DOGE has now begun to rebound from its recent lows, forming a sequence of higher candles that suggests early signs of renewed buyer interest. The short-term trajectory indicates a potential push toward the descending trendline, where the market may test whether sellers still dominate or if buyers can finally break through this structure.
Source: X
According to Trader Tardigrade, the MACD indicator adds a significant bullish signal to this picture. The MACD line has crossed above the signal line, forming a clear bullish crossover, a classic momentum reversal pattern. This crossover indicates that downward momentum has weakened and buyers are starting to regain control. The histogram shifting from red to green reinforces this improvement in sentiment, suggesting building bullish energy. If this momentum continues, the price could climb toward the highlighted resistance area, making this crossover a pivotal early signal for a potential trend change.
Source: https://coinpaper.com/12585/dogecoin-faces-selling-pressure-after-significant-whale-redistribution
