One Wallet Holds Nearly $10 Billion in Dogecoin – Potential Red Flag for the DOGE Market?

• Robinhood is a big Dogecoin holder with up to $10 billion held in its wallets.
• D.O.G.E is shaping the popularity of Dogecoin ahead of Trump’s inauguration.

Taking to the X platform, crypto analyst Conor Grogan revealed that one Robinhood wallet holds nearly $10 billion worth of Dogecoin (DOGE). This disclosure has raised concerns about the potential impact on the Dogecoin market.

Robinhood’s Dogecoin Journey

Dogecoin, currently the biggest meme coin by market capitalization, has long been a favorite of Robinhood, an American financial services company. Per a CNF report, in 2021, Dogecoin accounted for a large chunk of the firm’s revenue.

The memecoin saw a tremendous rally due to continuous social media attention from billionaire Elon Musk and other prominent figures. This wild speculative frenzy caused Robinhood to halt crypto trading at the time temporarily 

However, in August 2023, Robinhood announced support for DOGE. This announcement came six months after the company launched a crypto wallet as it doubled down on its expansion plans. Subsequently, in late 2024, Robinhood began supporting Dogecoin transfers in the EU.

Since then, Robinhood has opened its doors to other competing meme coins, including Shiba Inu (SHIB) and dogfight (WIF). Currently, Robinhood wallets hold nearly one-third of Dogecoin’s total circulating supply, which amounts to 147.56 billion DOGE.

While this proves a large backing for DOGE, the centralized holding is also not good for the memecoin. Should Robinhood choose to liquidate its holdings, it might impact Dogecoin significantly.

In 2021, the blockchain analytics platform Lookonchain suggested that Elon Musk held the biggest Dogecoin wallet based on the peculiar timing of one of his social media posts.

This would make the Tesla CEO the biggest Dogecoin market maker. In a recent CNF update, Musk acknowledged that he personally owns DOGE. Musk, however, did not reveal the amount of DOGE he owns. Intriguingly, the billionaire’s social media DOGE comments have been instrumental in shaping the memecoin’s price.

Dogecoin Reigns in the US

Discussions surrounding Dogecoin recently heightened in the US after Senator Joni Ernst used a Doge-themed visual during a speech in Congress. Dogecoin co-creator Billy Markus drew the market’s attention to the event in an X post. 

During her Senate speech, Senator Ernst displayed an image of the DOGE memecoin, depicted as a sand-dust cloud engulfing Washington, D.C. The image symbolizes how the Department of Government Efficiency (D.O.G.E) operations are likely to spread throughout the city in the coming weeks.

D.O.G.E. is an advisory group focused on reducing government spending to establish a more streamlined and effective administration. The group, led by Elon Musk, seeks to abolish bureaucracy and pledges to cut approximately $2 trillion from the government’s yearly budget.

As regards DOGE, the price appears stagnant over the past year. The memecoin saw a massive rally in the fourth quarter of 2024. However, the price is currently seeing a downtrend amid a general market bearish sentiment.

As of this writing, DOGE has recovered slightly, trading at $0.3365, up 0.9% in the last 24 hours.

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