A massive whale on the Dogecoin ($DOGE) network has recently accumulated a significant number of tokens, to the point they are now the 20th largest wallet on the cryptocurrency’s blockchain, with over 700 million DOGE.
The whale’s accumulation was first spotted by blockchain monitoring resource Lookonchain, which pointed out on the microblogging platform Twitter that the whale first added 200 million $DOGE, worth around $39 million to their wallet, before adding 250 million, worth $63 million after a price surge, the following day.
The price of the meme-inspired cryptocurrency has risen over 6% in the past week, and is up nearly 24% year-to-date, accompanying a wider cryptocurrency market recovery that saw BTC get near the $25,000 mark.
As Daily Hodl reported, the whale’s balance makes it the 20th largest wallet on the Dogecoin network. Its accumulation comes at a time in which social sentiment surrounding the cryptocurrency has started growing, in a trend that according to blockchain analytics firm Santiment “perfectly illustrates how euphoria creates price tops.”
As CryptoGlobe reported Mark Yusko, the Founder and CEO of Morgan Creek Capital Management, LLC, commented on $DOGE and rival memecoin $SHIB in a recent interview.
He expressed his belief that the bear market in cryptocurrency will end when these two coins go to zero, but they continue to rise. He also questioned the underlying value of these meme coins and compared them unfavorably to Amazon, which generates profits and cash flow. Yusko suggested that meme coins lack value and have no use case beyond speculation.
Blockchain data shows that out of the top meme-inspired cryptocurrencies, Dogecoin and Shiba Inu, the majority of investors in the latter are still underwater, while the majority of investors in the former are in a state of profit.
Featured image via Pixabay.