Dogecoin (DOGE) Plunges 92.5% in Key On-Chain Metric, What’s Going On?

As has become known, thanks to the on-chain statistics of IntoTheBlock, the netflow of Dogecoin (DOGE) to the wallets of large holders has taken a big hit in the last 24 hours. The ratio of DOGE flowing into wallets holding at least 0.1% of the total supply, minus the outflow from these wallets has dropped significantly – from 375.4 million tokens to 27.98 million tokens.

This decrease was primarily due to a drop in inflows, rather than an increase in outflows. In the last 24 hours, the inflow into whale Dogecoin wallets has shrunk from 450.99 million DOGE to 66.35 million DOGE. This is more of a positive sign, as it only indicates a decrease in activity and interest, not a bearish sell-off by the largest holders.

Yes, it is not great, as the lack of activity is not helping the price go up, but at least there is no increasing selling pressure on the DOGE price.

Dogecoin (DOGE) price outlook

Speaking of DOGE, the price of the most popular meme cryptocurrency has once again reached a key local support level at around $0.125 per token. If Dogecoin manages to hold here, the bullish, or rather “not-bearish” bias will be the main one.

However, if it slips below this level, it will become a stiff resistance for the popular meme cryptocurrency. In this context, the actions of the major holders will be crucial, as well as the general market conjecture – and which narrative prevails at the moment.

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