Dogecoin Trading Volume hits $3.5B As Top Whale Moves 650M Tokens After Twitter-induced Rally

The asset surged by 33% in less than three hours, shortly after Elon Musk’s Twitter changed its homepage icon to the Dogecoin logo.

Dogecoin’s (DOGE) fifth-largest holder transferred 650 million DOGE tokens ($61.3 million) a few hours after the asset registered double-digit gains. Dogecoin’s rally was majorly triggered by Twitter’s decision to change its homepage logo to the crypto asset’s avatar.

On-chain surveillance resource Lookonchain called attention to the transaction today.

After Twitter changed the webpage logo icon to #DOGE‘s avatar, the price of $DOGE increased by ~30%.

The 5th holder of $DOGE transferred 650M $DOGE ($61.3M) out after the price of $DOGE increased. @elonmusk #Dogecoin https://t.co/n6R2L7HKN7 pic.twitter.com/Sd7T50aOZx

— Lookonchain (@lookonchain) April 4, 2023

Blockchain data suggests that the transaction occurred on April 3, at 19:48 (UTC) when DOGE was changing hands at $0.094, a 22% rise from its price of $0.067 two hours earlier. Following the transaction, the address in question now holds 3.78 billion Dogecoin, retaining its position as the fifth-largest DOGE holder. According to Bitinfocharts, the address now boasts a massive $80.14 million profit on its cumulative DOGE holdings.

The 650 million DOGE tokens were transferred to another address on the Dogecoin rich list – the 18th largest DOGE holder. Shortly after receiving the funds, this address offloaded 300 million DOGE.

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The purpose of the transaction remains a mystery due to limited on-chain data, but this has not discouraged crypto proponents from speculating about a dump. Reactions have trailed the disclosure, with some proponents alleging that Elon Musk could own the address. However, others have dismissed these claims.

Doge Trading Volume

LunarCrush disclosed today that Dogecoin’s 24-hour trading volume soared to $3.54 billion, its highest point in the last three months. According to LunarCrush, the previous three times this surge was witnessed, DOGE increased by an average of 18.4% in the next week.

$DOGE 24h trading volume just hit $3.54B, the highest point in the last 90 days. The last 3 times similar insights triggered, price moved up an average of +18.4% in the following 7 days.

At the time of this insight triggering, the top viral content was from @BillyM2k.… https://t.co/l2jiUYUcVK pic.twitter.com/aDTANZK7wu

— LunarCrush (@LunarCrush) April 4, 2023

Twitter Changes Homepage Icon to DOGE

Recall that Twitter replaced its iconic blue bird logo on the platform’s homepage with the Dogecoin avatar yesterday, triggering a massive surge in the asset’s price action. Shortly after the change, Elon Musk called attention to a conversation last March wherein he was challenged to buy Twitter and change the bird logo to the Dogecoin icon.

As promised pic.twitter.com/Jc1TnAqxAV

— Elon Musk (@elonmusk) April 3, 2023

Dogecoin rallied in response to the disclosure, surging from $0.0767 to $0.1026, marking a 33.7% gain in less than three hours. The uptrend further triggered massive demand for the asset and increased selloffs as investors looked to rake in profits from the price rally.

The asset is trading for $0.0968 as of press time, up 24.54% in the past 24 hours.

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