A Dogecoin (DOGE) address that was deactivated almost a decade ago has reawakened, raising suspicions of being sold in the community.
Insights into the wallet’s activities were provided by the Whale Alert cryptoanalysis protocol, which revealed that the Dogecoin address had indeed been inactive for the past 9.5 years. This wallet contains a total of 2,002,447 DOGE tokens worth approximately $131,178.
The real reason why crypto wallets are disabled is unknown, and there are too many schools of thought to refute them all. One of the more plausible assumptions is that the owners of the addresses received the tokens early and hoddled them so that the price would increase over the years and make a good profit.
Considering how long this address has been inactive, the owner probably acquired these tokens months after Billy Marcus launched the first MemeCoin in 2013, or bought Dogecoin. The token price was still very low at that time and 2 million DOGE tokens might be worth it. According to CoinMarketCap data, only about $424 was paid based on a price of $0.0002114 per token in November 2014.
If this HODL assumption is correct, then the activated address has a huge profit and thus, lends credence to any possible sell move that may be made.
Will the price of Dogecoin be affected?
Resurgence of whale addresses is not unusual and usually does not pose a threat to the current price of the cryptocurrency. Considering the fact that Dogecoin’s market capitalization is now set at $9 billion, the dollar equivalent of the Dogecoin token in question is not large enough to affect the coin’s price.
With the reawakening update shared a few hours ago, Dogecoin saw its price recover significantly. At the time of writing, this digital currency, with a spot price of $0.06501, has not changed significantly in the last 24 hours.
In the week-to-date period, Dogecoin is up 6.15%, a showcase of steady retail buying.