Dogecoin Miners Dump 240 Million Tokens, Can DOGE Price Still Recover To $0.2?
15 Dezembro 2023 - 3:00PM
NEWSBTC
Dogecoin began a recovery with the rest of the crypto market in
October and by December, the altcoin’s price would rise to a local
peak of $0.107. Amid this recovery, DOGE miners have been selling
off a significant portion of their holdings, which could explain
the decline in the asset’s price earlier in the week. Dogecoin
Miners Sell $25 Million Worth Of Tokens Dogecoin miners are some of
the largest holders of DOGE with their holdings running into the
billions. So any significant activity from them in one direction or
the other can often be a major factor in where the price goes next.
This time around, their activities have learned on the more bearish
side and have negatively affected the DOGE price in the process.
Related Reading: Crypto Analyst Who Predicted Bitcoin 2023 Bull Run
Releases New Target According to the on-chain crypto data tracking
platform IntoTheBlock, Dogecoin miners have been selling into every
pump in the last couple of weeks. On November 24, the total
combined reserves of DOGE miners had climbed to 4.67 billion DOGE.
However, by the second week of December, this figure has dropped by
a few hundred million. Over the last month, the reserves have been
on a slow decline, usually on a daily basis. But this decline adds
up when zoomed out to look at the big picture. By December 12,
Dogecoin miners held 4.4 billion DOGE in their balances, meaning
they had sold over 240 million tokens in the space of three weeks.
Taking an average price of DOGE over the last few weeks, the total
amount of DOGE sold by these mines comes out to around $25 million.
This figure would explain the mounting sell pressure that the
altcoin had been acting which eventually led to a brief decline
below $0.091. DOGE price wobbles amid uncertainty | Source: DOGEUSD
On Tradingview.com DOGE Price Recovery In Trouble? After the dip
earlier in the week, the Dogecoin price has begun to recover as of
Thursday. This recovery pushed the price above $0.097 which is a
welcome development for investors. But there is still the
speculation of more sell pressure coming from DOGE miners. Related
Reading: XRP Bull Run Confirmed: Largest Bull Flag In Crypto
History Just Formed However, there seems to be a change in
sentiment among these miners whose holdings have begun to rise once
more. Between, December 12 and 13, their holdings went from 4.4
billion to 4.41 billion. A small recovery, but a welcome change.
Dogecoin miner net flows are also starting to turn positive after
two days of negative net flows totaling over 80 million DOGE. Net
flows in this case is the difference between the total amount of
inflows and the total amount of outflows from the miners’ wallets.
On December 13, the miner’s net flow was 7.09 million DOGE. Still
low but a stark contrast to the -43.33 million recorded on December
12. Featured image from AMBCrypto, chart from Tradingview.com
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