Are Dogecoin Holders Looking to Buy More After 16% Crash?
Despite a 16% crash, on-chain data suggests Dogecoin holders are accumulating, viewing the dip as a buying opportunity.Summary
Dogecoin experienced a sharp 16% drop over four days, briefly falling below key psychological levels, which unsettled some short-term holders. However, on-chain analysis, specifically the Exchange Net Position Change, indicates that Dogecoin holders responded to the weakness by increasing accumulation, suggesting they see the decline as a favorable zone for buying rather than a reason to sell. This accumulation behavior has historically preceded recoveries for DOGE. Furthermore, the Market Value to Realized Value (MVRV) ratio has entered the historical opportunity zone (between -17% and -25%), signaling widespread unrealized losses that typically limit further selling pressure and encourage rebounds. At the time of writing, DOGE was trading near $0.105 after briefly hitting an intraday low of $0.094. Holding above the critical $0.100 support level is essential for a potential recovery toward $0.117; failure to do so risks revisiting the recent lows.
(Source：BeInCrypto)