Dogecoin (DOGE) has seen its price remain flat despite an increase in coin accumulation, indicated by its rising Money Flow Index (MFI).
The cryptocurrency continues to trade within a horizontal channel, suggesting that the buying pressure is insufficient to trigger a breakout.
DOGE's MFI has been trending upwards, indicating increased demand. However, its sideways movement suggests that this demand is not strong enough to surpass resistance at $0.11, making a rally challenging.
On-chain data supports this outlook, showing a decline in whale transactions and a significant drop in large holders' netflow by over 112% in the past month. This indicates high coin distribution among investors holding at least 0.1% of the circulating supply.
With reduced whale activity, DOGE's attempt to break resistance may fail, causing the price to trend towards $0.10 support. If this level is not defended, the downtrend could continue, leading to a potential 14% decline to $0.08.
However, if demand strengthens, DOGE could successfully rally past resistance and target a three-month high of $0.15.
