Key Takeaways
- Dogecoin (DOGE) currently exhibits the most unfavorable performance among the top ten cryptocurrencies by market capitalization, experiencing a decline of 7.5% within the last 24 hours.
- This bearish trend is compounded by the overall underperformance of Bitcoin and other major cryptocurrencies.
Analysis of DOGE’s Market Position
The cryptocurrency market has demonstrated significant weakness over the past weekend, with Bitcoin’s valuation falling below the critical threshold of $108,000. In alignment with historical trends, memecoins such as Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE) have been particularly susceptible, incurring substantial losses over the preceding 24-hour period.
On-chain analytics and derivatives data indicate a pronounced risk aversion among both large wallet investors and retail traders concerning Dogecoin and its memecoin counterparts. This behavioral shift has resulted in heightened supply pressure within the market.
According to data sourced from CoinGlass, the futures Open Interest (OI) for Dogecoin—the aggregate value of all outstanding futures contracts—has experienced a decline of 2% in the past day, now totaling approximately $1.70 billion. Such a reduction in OI suggests that market participants are actively mitigating risk exposure by either reducing leverage or closing existing positions.
Additionally, on-chain metrics reveal a waning interest from large wallet investors in memecoins. Notably, the number of DOGE investors holding more than 100 million tokens has remained static since the onset of this month, further underscoring the current lack of bullish momentum.
Potential Price Movements for DOGE
The technical analysis of the DOGE/USD pair on a four-hour chart presents a decidedly bearish outlook, characterized by an absence of recent upward movement. Current technical indicators further corroborate this pessimistic sentiment, suggesting imminent selling pressure.
As of the latest updates, DOGE is trading at $0.175, reflecting a 7.5% decline over the last 24 hours. The failure of bullish forces to sustain price levels above the $0.17816 support level—established during the October 11 trading session—signals a likely continuation of downward momentum.
A daily closing price beneath this critical support could precipitate a decline towards the $0.15009 level, which aligns with the market crash observed on October 10. The current Moving Average Convergence Divergence (MACD) indicators reside within negative territory, while a Relative Strength Index (RSI) reading of 40 further substantiates a bearish bias in sentiment.
Conversely, should bullish traders manage to elevate DOGE’s price above the $0.17819 threshold by day’s end, there exists potential for a rebound towards Sunday’s high at approximately $0.18884 within forthcoming hours.
