Dogecoin (CRYPTO: DOGE) may have retraced significantly this week, but whale investors have still not given up on the king of meme coins yet.

What Happened: On Tuesday, popular blockchain research firm Santiment took to X to share its findings of Dogecoin's recent performance. The firm noted a significant 18% drop from its recent highs on Saturday but highlighted that whales were still very active on the network.

The total number of addresses involved in DOGE transactions daily surged to 63,689 in the past three days, marking the largest 3-day growth in six months.

Additionally, more than 1,200 transactions worth over $100,000 were recorded preceding the local top on Saturday, the highest whale activity since May 26-28.

"Though they took profit just before the top, their activity remains very high on DOGE's network," remarked Santiment.

DOGE's bullish potential was also underlined by widely followed cryptocurrency trader Ali Martinez. In an X post, he observed the formation of a MACD bullish crossover on the weekly chart.

Citing history, Martinez said that previous occurrences of MACD bullish crossovers preceded rallies of 90% and 180%, respectively.

The MACD is primarily used to gauge an asset's overall trend. When the MACD line crosses above the signal line, the sentiment is bullish, and when it crosses below the signal line, the sentiment is bearish.

Why It Matters: This analysis comes in the wake of a broader slump in the cryptocurrency market after news of Iran's missile attack on Israel heightened fears of a full-blown war and economic trouble.

Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) were down 3% and 6%, respectively, while the total market capitalization contracted more than 4% over the last 24 hours.

A pseudonymous cryptocurrency trader, Master Kenobi, predicted last month that Dogecoin would outperform Bitcoin in the current market cycle, as it has in past cycles.

He argued that Dogecoin has been able to leverage Bitcoin's trajectory, benefiting from the groundwork laid by the apex cryptocurrency, and stands to benefit from the "follower" effect.

Price Action: At the time of writing, Dogecoin was exchanging hands at $0.1083, down 8.6% in the last 24 hours, according to data from Benzinga Pro.

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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