Apparently preparing for the upcoming rally, a crypto whale has scooped about $38 million worth of Dogecoin (DOGE) over three days this week to become one of the richest DOGE addresses in the world.

Dogecoin is a dog meme cryptocurrency backed by Tesla owner and Twitter CEO, Elon Musk. 

As of the time of writing this report, Dogecoin is worth $0.087 with a market capitalization of more than $11.5 million, ranking as the 10th largest cryptocurrency. 

Dogecoin is down nearly 5% in the past day but still up more than 5% in the past week. It’s also up roughly 22% since the start of 2023, Binance platform reveals. 

According to BitInfoCharts, the whale now has a balance of more than 709.2 million Dogecoin worth more than $60 million, making it the 20th-largest DOGE wallet in the world. 

Investors King understands that positive social media sentiment has been surrounding dogecoin since Elon Musk posted a picture of a dog as the new Twitter CEO on his Twitter page. Within minutes, the post generated a lot of reactions from crypto enthusiasts. 

Musk tweeted a picture of his pet dog sitting on the company’s CEO’s chair, with the caption: “The new CEO of Twitter is amazing. So much better than that other guy!” he added.

Meanwhile, a Dogecoin wallet that has been inactive for almost two years has recently transferred a significant amount of DOGE to a new address, amounting to 326.4 million DOGE or roughly $28 million at the time of the transfer.

This transfer has caught the attention of the crypto community, with many speculating on the potential impact on DOGE’s price.

However, it is important to note that this is not the first time a large amount of DOGE has been moved around. In fact, earlier this year, a whale transferred 36.8 billion DOGE, which was worth around $1 billion at the time. Despite this large transfer, DOGE’s price remained relatively stable.

Following the acquisition of Twitter by Elon Musk, Dogecoin, a joke coin backed by the billionaire, first rose by 17% on Friday before expanding an additional 70% on Saturday to bring its total gain since the deal was closed to 87%.

The world’s richest man who also doubled as Tesla CEO is named Doge-Father because of his unflinching support for the coin. 

Investors King understands that electric vehicle maker, Tesla is accepting Dogecoin as a means of payment for the company’s merchandise such as tires and other spare parts.

Elon Musk has been a strong advocate of cryptocurrency.

Tesla Inc. held $1.2 billion worth of bitcoin on its balance sheet before the company sold about 75 percent of its holding. 

Similarly, Musk’s newly launched perfume brand “burnt hair” also accepts dogecoin in exchange for the product. 

On several occasions, Musk has tweeted about dogecoin which often led to the surge of the one-time meme coin which now turned out to be one the most favourite digital asset with growing utility.

Dogecoin started as a social media joke before it elicit the interest of the world’s richest man. 

On one occasion, Elon Musk hyped dogecoin by tweeting the word “People’s Crypto”. 

On Saturday, dogecoin extended its weekly gain by more than 70 percent. The coin rallied to $0.134340

The digital asset surged by more than 35 percent on Monday as rumors of Elon Musk completing the acquisition of Twitter traveled wide.

Meanwhile, several sources have confirmed that ChangPeng Zhao, who is the Founder and Chief Executive Officer of the largest cryptocurrency exchange,  Binance invested a sum of $500 million towards Musk’s buyout of Twitter.

This has raised a strong sentiment that the social media platform will be enormously crypto-friendly going forward. 

Although Twitter in the past years has introduced some cryptocurrency features which include the opportunity to attach bitcoin address to users’ profiles. 

Under the leadership of Twitter’s Co-founder and former CEO, Jack Dorsay, the microblogging platform had started ways to incorporate blockchain technology into the Twitter platform. 

Dogecoin investor Keith Johnson has dragged Elon Musk, the world’s richest man, and his two main companies, SpaceX and Tesla, to a Federal Court on Thursday for manipulating the price of the meme coin in a deliberate “crypto pyramid scheme” over Twitter.

Elon Musk, Tesla and SpaceX were sued for $258 billion, representing the decline in Dogecoin’s market value since May 2021.

Johnson, who invested in Dogecoin in 2021, filed a class-action lawsuit in the Southern District of New York for at least $86 billion in damages and wants it tripled. A class action is a type of lawsuit where one member of a group or parties represented the group or parties in court.

In the filing obtained by Investors King, Johnson accused Elon Musk, SpaceX and Tesla, Inc. of engaging in a Crypto Pyramid Scheme by way of Dogecoin cryptocurrency.

This, he said Musk did by aggressively promoting, supporting, and operating Dogecoin since 2019 despite knowing that the cryptocurrency was created as a joke without any value or significance.

He further stated that “Dogecoin is not a currency, stock, or security. It’s not backed by gold, other precious metal, or anything at all. You can’t eat it, grow it, or wear it. Dogecoin does not generate cash flow. It doesn’t pay interest or a dividend. It has no unique utility compared to other cryptocurrencies. It is not part of a new internet or the metaverse. It’s not based upon or tied to anything of value. It is not secured by a government or private entity. The number of coins is unlimited.”

Dogecoin was created in 2013 by co-founders, Billy Markus and Jackson Palmer. The meme coin was launched at $0.0002 a coin within two hours as Markus admitted that the coin was created as a joke and it relied 99.99% on the “greeter fool theory”.

However,  Elon Musk promotion and support drove the price of the joke coin to $0.75 a coin in 2021, an event that lured mainstream and global youths with zero understanding of investment risk into the cryptocurrency space.

A lot of them reportedly bought at a higher price, expecting the joke coin to extend its bullish run. As expected, experienced investors started taking profit and eventually cashed out after Elon Musk, in a turn of event, started attacking the team behind the coin for allowing few individuals to hold over 70% of the coin.

Also, the entire cryptocurrency stopped following Elon Musk after Tesla stopped accepting Bitcoin as payment because of its energy consumption. Large number of the cryptocurrency community said the billionaire can not be trusted.

Since then the coin has been on a downward trend and presently trading at $0.05 a coin.