Dogecoin Faces Headwinds as Long-Term Holders Cash Out

Dogecoin’s recent rally has reignited enthusiasm across its community, with the asset climbing 36% in just a week.

But under the surface, key indicators suggest the uptrend could be fragile — especially as veteran holders begin to take profits.

On-chain data shows a surge in “age consumed,” a metric used to track the movement of dormant coins. This spike points to long-term holders — often seen as stabilizing forces in the market — offloading significant portions of their holdings. It’s the most aggressive selling activity from this group since mid-2023.

While short-term momentum still paints a hopeful picture, technical signals are becoming conflicted. The Ichimoku Cloud — a tool used to assess market trends — shows Dogecoin trading above support zones.

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However, sustained sell-offs from long-term wallets could undermine this strength and trigger a swift reversal.

DOGE currently trades near $0.234, but analysts are eyeing $0.220 as a key level to watch. A break below could send the coin sliding toward $0.198, wiping out much of the recent gains.

With whales quietly exiting and macro sentiment turning cautious, Dogecoin’s next move will likely hinge on whether buyers can absorb the pressure — or fold under it.

Alexander Stefanov