Dogecoin whale activity slowed by billions of dollars leaving the blockchain

After a series of activities, I saw Dogecoin (Dog) Shorter processing than Bitcoin (Bitcoin) And ether (ETH) Combined, the wave seen on the Dogecoin blockchain seems to be slowing down.

Dogecoin’s price increase throughout 2021 has been accompanied by a strange increase in the value of transactions on its blockchain.This Dollar value On May 5, the peak of DOGE sent from wallet to wallet reached $82 billion, surpassing the $35 billion recorded by Bitcoin and the $12 billion recorded by Ethereum.

Considering that Dogecoin’s total daily transaction volume until December 2020 is as low as 10 million U.S. dollars, it is even more surprising to surpass the two most famous blockchains in the world.Tesla CEO Elon Musk and social media traders concentrated on pumping Dogecoin in a manner similar to gaming retailer stocks Game stop.

Although the overall activity of Dogecoin is still much higher than the December low, there was a sharp reversal in May, which suggests that whales may tire Dogecoin.

Dogecoin’s daily trading volume on Wednesday was close to 5 billion U.S. dollars, a 93% decrease from the all-time high of 82 billion U.S. dollars set earlier this month.

At the same time, DOGE’s Average transaction volume It fell sharply from 1.16 million US dollars on Sunday to 240,000 US dollars three Wednesdays, a drop of nearly 80%.Despite the much smaller sample size, the average transaction value of the token has persisted for most of the past month-this shows that Dogecoin is mainly used By large account holders.

Although the increase in activity on the Dogecoin blockchain occurred at its peak so far this year, as traders began to work hard to artificially increase the value of Dogecoin, they witnessed a significant increase in the above two indicators in mid-April.to 4/20 days.

The subsequent decrease in network activity was accompanied by a 63% drop in the Dogecoin price throughout most of May as it fell from its recent all-time high of $0.73.