Significant Dogecoin Sell-Offs by Major Holders May Trigger Further Market Downturns

As of April 2025, the cryptocurrency market is witnessing heightened volatility as large-scale Dogecoin (DOGE) holders, commonly referred to as ’whales,’ are offloading substantial portions of their holdings. These massive dumps have raised concerns among investors about potential cascading price effects. Market analysts warn that such concentrated sell pressure could destabilize DOGE’s valuation, particularly if whale activity continues unabated. The situation underscores the inherent risks in meme-coin ecosystems where a small number of addresses often control disproportionate supply. Traders are advised to monitor on-chain metrics closely, including exchange inflows and whale wallet movements, to gauge near-term price direction.

Dogecoin Whales Quietly Dump As Price Struggles At $0.155

The chart shared by Martinez on social media platform X shows a steady and persistent decline in whale holdings from April 10 through April 17, 2025. This group of wallets, holding between 10 million and 100 million Doge tokens each, plays an important role in price action due to their capacity to move massive volumes.

Considering the current price range of Dogecoin, the smallest holder in the cohort would hold around 10 million tokens, currently worth about $1.58 million.

Over the course of the past week, their combined holdings dropped from above 24.3 billion DOGE tokens to just under 23.8 billion tokens, corresponding with a sharp reduction in Dogecoin’s price from around $0.165 to the current $0.155. This sort of movement suggests that these Dogecoin holders have most likely moved their tokens from self-storage into crypto exchanges. 

Price Impact Could Extend If Market Sentiment Weakens

Whale distribution can precede strong market corrections, especially when trading volumes are not high enough to absorb the sudden influx of supply. The timing of this whale activity is also important, considering the fact that Dogecoin had been consolidating near a key support zone at $0.155 after a failed attempt to sustain a breakout beyond $0.17 earlier in the week.

The latest data indicates that rather than accumulating at these lower levels, some whale addresses are exiting their positions, suggesting their confidence in a rebound may be fading. 

If this pattern of whale holding decline continues to unfold in the coming days, Dogecoin could be in for a deeper correction, with the price likely to revisit critical support zones at $0.144 or possibly even as low as $0.138 in the coming week. This retest of lower support ranges will be crucial, as whale accumulations will be necessary here in order to get a rebound. If a rebound does happen in this range, short-term bullish targets to watch in this case would be at $0.1607 and also at $0.1670.

Interestingly, the challenge isn’t just limited to Dogecoin, as the wider crypto market has witnessed selloffs from some whales in the past week.

At the time of writing, Dogecoin was trading at $0.1584. The recent trading hours have been characterized by a brief push above the $0.155 support zone. 

Featured image from Pexels, chart from TradingView