Rich by Coin

Dogecoin price finally delivered a proper reversal after weeks of failed attempts. The token is up about 33% from its late December low, marking its strongest recovery since November. That move matters because earlier reversal attempts stalled quickly, even when technical signals looked similar. But just as Dogecoin pushes into a key resistance zone near $0.15, a new risk is building beneath the surface, driven by whales.

Between November 4 and December 31, Dogecoin price made a series of lower lows while the RSI formed higher lows. RSI measures momentum. This time the dynamic was driven by whale behavior, as mid-tier holders—between 1 million and 10 million DOGE—began selling into strength and capping upside.

Since December 31, that same whale group increased holdings from roughly 10.84 billion DOGE to about 10.88 billion DOGE, a net addition of around 40 million DOGE (roughly $6 million), and they have not started dumping yet. That steady buying is why this reversal extended to about 33%, instead of stalling early like previous attempts. But that does not mean the rally is safe.

A hidden bearish divergence formed from mid-October to early January, with the price making a lower high while the RSI made a higher high, signaling that upside momentum is fading. Large holders have started to press selling, with whales holding more than 1 billion DOGE reducing exposure on January 1 and trimming their collective holdings from about 72.68 billion DOGE to 71.80 billion DOGE (nearly 880 million DOGE, about $130 million). The bullish case remains, but it is conditional: a clean daily close above $0.151 would weaken the divergence and open the door toward $0.173; if that level cannot be reclaimed, downside risk could extend to $0.137 and then $0.115.