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Dogecoin remains under heavy selling pressure, even though it still ranks as the largest memecoin with a market value near $23.28 billion. The coin has shed about 67% over the past year and lost roughly 2.4% in the last 24 hours.
Even so, several on-chain and derivatives metrics now point to a possible accumulation phase. These signals indicate that large holders and retail traders continue to add to their positions, even as overall sentiment toward Dogecoin is still weak.
The current bubble risk model for Dogecoin shows muted sentiment rather than overheating. Instead of flashing a warning of an overvalued DOGE price, the indicator trends lower, which usually aligns with accumulation rather than distribution by existing holders.
This pattern matches rising on-chain activity. Recent data from Santiment indicates a sharp rise in network activity, with daily active addresses reaching around 73,560. That jump in active wallets usually signals more frequent transfers, trading, and repositioning on-chain.
Spot market flows tell a similar story. Exchange Netflow data indicates that buyers have the upper hand for now, with about $3 million worth of DOGE soaked up in recent sessions. Over the past week, net spot purchases reached about $50 million, equal to a little more than 2% of Dogecoin’s market capitalization.
However, total trading volume continues to fall. Lower volume signals softer enthusiasm and can limit the strength of any short-term rebound, even when net flows turn positive.
Whale and large-holder activity has shifted after weeks of steady selling. Wallets holding between 1 million and 100 million DOGE increased their combined balances from 27.79 billion tokens on December 3 to 28.34 billion on December 6. That change adds up to around 550 million DOGE in net accumulation over 48 hours.
This activity follows a drop into the mid-$0.13 range, where Dogecoin found support and rebounded to an intraday high near $0.1504. The timing suggests these wallets see the current DOGE price zone as an attractive re-entry point after the earlier distribution phase that began in mid-October.
Analysts point to $0.138 as a key support level. If DOGE price trades above this area for a sustained period, many market watchers will see a stronger case that a local bottom has formed. A clean break below that level, in contrast, would weaken the current accumulation thesis.
Also Read: Dogecoin News Today: DOGE Climbs Higher as New Cycles Point Toward $0.75 Target
On the upside, Dogecoin faces a clear obstacle. Liquidation data shows about 11.72 billion units concentrated around the $0.20 level. This cluster forms a heavy sell zone that could trigger increased liquidation and profit-taking if DOGE price moves into that area.
If retail demand and whale accumulation push DOGE toward $0.20, leveraged positions may unwind quickly, which could spark a sharp pullback. That zone now stands out as one of the largest immediate threats to any extended Dogecoin price rally.
Some technical analysts still outline potential cycle targets between $0.70 and $0.75, based on broader market cycles. For now, though, the data shows a market in transition: bubble risk easing, active addresses rising, whales accumulating, but volume soft and a major DOGE resistance band positioned near $0.20.
