Will whale investors and spot investors push DOGE higher?

Dogecoin [DOGE] is partially decoupled from Bitcoin [BTC] and Binance Coin [BNB], both of which reached all-time highs—indicating a lower probability of a DOGE rebound in the short term.

As of the time of writing, DOGE has fallen 3% in the past 24 hours, while other top 10 cryptocurrencies by market cap continue to rise.

Although this asset has risen 27% in the past month, it still struggles to recover previous highs, while BTC and BNB reached new highs last week, and Ethereum [ETH] is also approaching its own record.

Chart analysis indicates that liquidity outflow is the main driving factor. Investors are selling Dogecoin (DOGE), while liquidity is flowing into Bitcoin (BTC) and Binance Coin (BNB).

For example, from May 10 to June 22, Dogecoin (DOGE) fell 39%, confirming capital outflow. In contrast, BTC only fell 3.72%, and BNB fell 7.06% during the same period.

Although all three assets subsequently increased, DOGE's rebound only brought it back to breakeven, while BTC and BNB saw stronger gains.

Liquidity inflow has reached high levels.

In the past week, whale addresses, known for large transactions, have accumulated 2 billion Dogecoins worth $480 million. Such a surge in accumulation suggests significant potential for a price breakout in Dogecoin.

According to the net flow on spot exchanges from CoinGlass, spot market investors have also joined in, adding another $32 million, bringing the total inflow to just over $500 million.

This sustained buying pressure could lead to one of the biggest fluctuations for Dogecoin in future trading days.

DOGE remains locked between key areas.

According to data from CoinGlass, the liquidation chart shows that DOGE is trading within two major clusters.

The clusters above may act as supply, which could trigger sell-offs if tested. Conversely, the clusters below may act as demand, which could push prices higher if reached.

Given the bullish momentum in the market and the significant accumulation by large whales, DOGE is more likely to move higher.

However, entering the upper liquidity area before attempting to set a new high could trigger significant sell-offs.