Dogecoin is seeing a renewed surge of interest as significant holders, often called “whales,” accumulate more tokens following a recent price correction.

The crypto market recently experienced a dip in Dogecoin’s price, falling from $0.1686 to $0.1423, shaking up the community. However, the decline was short-lived, and DOGE rebounded above $0.168 on May 6, pushing over five million wallets back into profitability. The celebration was brief, though, as Dogecoin corrected on May 7. During this price fluctuation, many Dogecoin holders quickly seized the opportunity to accumulate more tokens.

Santiment, an on-chain analytics platform, reported that large holders, particularly those controlling between 100 million to 1 billion DOGE, saw their cumulative holdings rise by 1% on May 7, representing 21% of the total supply. These “whales” amassed approximately 265.86 million DOGE, valued at $41.2 million, reversing a prior outflow of 342 million. This sudden accumulation marks a significant shift in the behavior of these large investors.

Market influence: Dogecoin whale accumulation continues

Whale accumulation has continued to drive attention toward Dogecoin. Whale Alerts, a platform that tracks major cryptocurrency transactions, revealed that 120 million DOGE, worth approximately $18 million, was moved from the Robinhood exchange in recent hours. This accumulation suggests that certain whales remain optimistic about Dogecoin’s future. Their bullish sentiment could position them for substantial gains if the market trends upwards.

Large holders’ activities often outsize Dogecoin’s valuation since it’s primarily a sentiment-driven asset rather than one reliant on practical utility. Therefore, significant buying or selling by whales can create ripple effects throughout the market. This recent accumulation points to a coordinated effort by whales to position themselves for the next major upward price movement.