Dogecoin whales keep buying as DOGE price drops 25% in a week

Dogecoin (CRYPTO:DOGE) has dropped by 25% in the past week, despite increasing accumulation by large market participants, known as whales.

The price of DOGE had been trading above $0.4 until January 21, but a sharp decline followed, with the most significant drop occurring during a market-wide crash on Monday morning.

During this crash, DOGE’s price plummeted to $0.2, marking a two-month low.

Though the market recovered shortly after, DOGE’s price failed to maintain momentum and remained below $0.25 as of now.

Despite the price decline, Dogecoin whales have continued to accumulate the asset in recent days.

These large players bought over 750 million DOGE during the crash and added another 100 million DOGE within a 24-hour period, reducing the overall supply.

However, these significant purchases have not yet resulted in a price rebound.

Analysts remain optimistic, with some predicting that DOGE has hit its low for this cycle and will soon recover.

Trader Tardigrade suggested that Dogecoin's price movements mirror those of 2017, indicating that the asset may have bottomed out and could soon reach a new all-time high.

KrissPax acknowledged the sharp correction but stated that such fluctuations are typical and part of the cycle, noting that they often present excellent buying opportunities.

The ongoing accumulation by whales and the historical price patterns have left some analysts bullish about DOGE's future potential.

At the time of reporting, the Dogecoin (DOGE) price was $0.2431.