Dogecoin (DOGE) Faced a Substantial Sell-off on Thursday as a Major Holder Transferred a Staggering 400 Million DOGE Tokens to Binance

According to Whale Alert, a platform monitoring large cryptocurrency transactions, the anonymous whale moved approximately $41.08 million worth of tokens

Dogecoin (CRYPTO: DOGE) saw a massive sell-off on Thursday as a major holder shifted 400 million of the memecoin to Binance.

According to Whale Alert, a platform that tracks large cryptocurrency transactions, the anonymous whale moved roughly $41.08 million worth of the tokens from an unidentified wallet to the Binance exchange. The transaction occurred as DOGE breached the crucial support level of $0.1.

In a surprising move a few hours later, the whale withdrew 50.4 million DOGE, valued at about $4.8 million. This sudden reversal may indicate a change in the investor's strategy or sentiment, possibly opting to retain a portion of their holdings amid the volatile market conditions.

At press time, the whale still held 379.8 million DOGE, valued at approximately $37.21 million, based on data from Blockchair. Interestingly, an analysis of the transaction history suggests that this whale had earlier acquired around 1 billion DOGE from Binance, showcasing a strategic move in response to the market shifts.

The whale's move came amidst broader turmoil in the cryptocurrency market. DOGE experienced a flash crash to as low as $0.93 following renewed concerns about a potential sell-off of around $9 billion in Bitcoin by creditors of the defunct Mt. Gox exchange.

Adding to the bearish sentiment was the German government's ongoing sale of roughly 50,000 Bitcoins, further fueling fear, uncertainty, and doubt (FUD) in the market.

Over the past 24 hours, approximately $640 million in cryptocurrency assets were liquidated, as per data from Coinglass. Bitcoin led the liquidations, followed closely by Ethereum and then Solana. Dogecoin also faced substantial liquidations, ranking fifth with around $11 million in positions closing in the red.

Despite these challenges, market analysts are viewing the recent events as indicative of waning confidence in Dogecoin's short-term profitability. Some analysts, like Cryptolicca, suggest that DOGE's price may find support within its current trading range of $0.17 to $0.95 at “level 2.”

According to data from Intotheblock, Dogecoin has established a significant demand barrier at $0.099, where over 1.14 million addresses collectively hold 11.36 billion DOGE. Should the price drop further, strong support is anticipated around $0.081, backed by holdings from 1.16 million addresses totaling 23.7 billion DOGE.

Moreover, there has been a substantial uptick in DOGE accumulation. Data from IntoTheBlock reveals a steady increase in addresses with positive balances, marking a positive trend for DOGE. As of June 17, there were approximately 6.48 million addresses with nonzero balances, a significant rise from 4.77 million on the same day in 2023. This surge in network activity and accumulation of assets bodes well for Dogecoin's potential upward price movement in the future.

At press time, DOGE was trading at $0.0988, reflecting a 10.78% drop over the past 24 hours.

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