Dogecoin whales have been shaving off their holdings over the past year, on-chain data shows. Usually, it's a bearish sign. But in case of Dogecoin there is a catch.

Market intelligence platform IntoTheBlock shared some interesting data. It turns out that DOGE whales have lost supply share to other holder groups recently.

Each of the so-called whales carry over 1% of all DOGE circulating supply in their balance. A year ago the whales controlled 45.3% of DOGE. Now they've got only 41.3% at their disposal. Retail and mid-sized investors now hold a larger share of the total supply, analysts explain.

As for these definitions, mid-size investors are those having between 0.1% and 1%. Retail investors are the small fish with 0.1% and less.

On one hand, the whales’ reduced holdings suggest that big investors have lost interest in Dogecoin. That's a clearly bearish sign. Whales are the most influential users of the token. Their collective behavior might sometimes directly impact the price.

On the other hand, the redistribution of the supply to smaller holders could be positive for the health of the DOGE ecosystem.

Blockchain is supposed to be decentralized by its nature. Many blockchain purists are angry with the global processes occuring in Bitcoin mining or Ethereum staking. The former is getting occupied by just a couple of large mining companies. The latter is endangered by huge entities, having more than half of ETH staked under their control.

So for Dogecoin, becoming less centralized means getting more charm in an old fashioned blockchain way.