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- 500M DOGE worth $106M was moved to Binance, sparking speculation.
- Data shows it was an internal Binance cold-to-hot wallet transfer.
- Rising whale accumulation hints at a potential Dogecoin rebound.
A recent whale transaction involving 500 million Dogecoin (DOGE)—worth over $106 million—has sparked intense speculation within the crypto community. While initial concerns suggested a potential dump, further analysis indicates the move may simply be an internal transfer by Binance.
Whale Alert Flags $106M Dogecoin Transfer
Blockchain tracker Whale Alert first reported the movement at 12:36 UTC on Tuesday, highlighting an unknown wallet labeled “DU8gPC” transferring 500M DOGE to a Binance-affiliated address. The sheer size of the transfer prompted immediate speculation, with some traders fearing that a whale might be offloading tokens, signaling bearish pressure for Dogecoin’s price.
However, deeper research revealed a different story.
Internal Binance Wallet Shift, Not a Dump
According to blockchain intelligence platform Arkham, the receiving wallet was confirmed as “Binance: Hot Wallet.” Importantly, the sending wallet also belonged to Binance and was marked as a DOGE Cold Wallet, used for long-term custody.
This suggests the transaction was an internal liquidity adjustment, a common practice among major exchanges. By moving funds from cold storage to hot wallets, Binance ensures sufficient liquidity to meet user trading demand.
Also Read: Qubic Network Targets Dogecoin After Successful 51% Attack on Monero
The cold wallet involved in the transfer still holds 2.42 billion DOGE (≈$516M), further easing fears of a mass whale sell-off. In fact, just hours earlier, it had moved 1.75M DOGE ($886K) to another Binance-controlled cold wallet.
Whale Activity Fuels Optimism for Dogecoin
Despite initial concerns, Dogecoin’s broader whale activity tells a more bullish story. Recent data shows that transactions worth over $1 billion surpassed 100 earlier this month, with whales accumulating 2 billion DOGE during the same period.
Market analysts, including Trader Tardigrade, believe this heightened accumulation could set the stage for a Dogecoin rebound. With an anticipated altcoin season on the horizon, some forecasts predict DOGE could see a threefold rally from current levels.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
