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Dogecoin Price

$1.4B at Risk If DOGE Falls Below This Level

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1 month ago

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Dogecoin price broke out of a falling wedge in the early hours of Monday Morning, signaling a bearish reversal. The 4-hour price chart shows DOGE has gotten some relief from the downtrend as the price has picked up over the last few hours. However, DOGE price is not out of the woods yet, as Futures data shows that there is increasing sell pressure on the asset, which puts over $1.4 billion worth of DOGE at risk of sinking into losses.  

Dogecoin Price Facing Rejection at Resistance

The current trend for DOGE price is downward, indicated by the price trading below the 200-day (black line at $0.115) and hovering just above the 50-day exponential moving average (EMA) (green line at $0.105). The recent price action suggests continued bearish momentum.

The nearest resistance level for Dogecoin’s price is $0.105  (aligned with the 50-day EMA), while a more significant resistance exists at 0.11518 (200-day EMA).

The immediate support is around $0.093 (orange line), and stronger support lies in the $0.080 – $0.085  range (grey zone).

The rising wedge has broken downwards, which is a bearish sign. The most recent candles suggest increasing selling pressure as prices approach support levels.

The Relative Strength Index (RSI) is at 50.34, which is neutral but shows a slight bearish bias, as it’s trending down from overbought levels. The Chaikin Money Flow (CMF) is at  -0.11, indicating mild selling pressure, which could increase if the Dogecoin price continues to drop.

There has been a consistent volume during the wedge formation, with a spike during the breakdown. This confirms the bearish breakout, with volume supporting the downward move.

Dogecoin Price Dogecoin Price
Dogecoin Price Chart

Dogecoin price prediction shows that if it surges above the 200-day EMA, it may invalidate the falling wedge bearish reversal pattern and rise to $0.14 as the new price target.

On-Chain and Futures Support Correction

The Dogecoin open interest (OI) dropped by 1.95% in the last 24 hours, indicating that the DOGE market is losing funds. DOGE price also dropped 1% during the same period of time to trade at $0.105. 

doge oidoge oiCombining these two data points shows that DOGE traders who are Long on the asset are closing their positions.

Additionally, the 4-hour cumulative volume delta (CVD) from Coinalyze, which shows the difference between buy and sell volumes within the last 4 hours, is negative, indicating that more people are selling than buying. 

doge cvddoge cvdWhen both OI and CVD decrease, it indicates that traders are closing Long positions, signaling a bearish trend.

Data from IntoTheBlock revealed that over $1.4 billion worth of DOGE is at risk of losing value if the Dogecoin price slips below $0.09.

doge iomapdoge iomapCurrently, 45.16% of all DOGE holders are in profit. If the price slides below this crucial support level, the percentage of profitable holders could drop by 19%.

On a positive note, data from Messari Research analytics shows that Dogecoin’s active addresses recently witnessed a spike, which suggests that investors may be taking an interest in the blockchain.

DOGE ADDRESSES COUNTDOGE ADDRESSES COUNTOverall, the bearish Futures metrics outweigh the single on-chain metric from the Dogecoin blockchain. While active addresses suggest real users and activity on the network, the current selling pressure on DOGE may suppress the metric’s impact. 

Frequently Asked Questions (FAQs)

Immediate support for Dogecoin is around $0.093. Stronger support is located in the $0.080 – $0.085 range. If the price approaches these support levels, it may determine whether Dogecoin can stabilize or continue to decline.

If Dogecoin surges above the 200-day EMA ($0.11518), it could invalidate the bearish falling wedge pattern and potentially rise to $0.14. However, if the price continues to decline, it may test lower support levels.

If Dogecoin’s price falls below $0.09, over $1.4 billion worth of DOGE could be at risk of losing value. This drop could also affect 45.16% of DOGE holders who are currently in profit, potentially reducing their gains by 19%.

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Evans Karanja

Evans Karanja is a content writer and scriptwriter with a focus on crypto, blockchain, and video gaming. He has worked with various startups in the past, helping them create engaging and high-quality content that captures the essence of their brand. Evans is also an avid crypto trader and investor, and he believes that blockchain will revolutionize many industries in the years to come. When he is not writing, you can find him playing video games or chasing waterfalls.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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Analyst Predicts What Needs To Happen

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1 month ago

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August 9, 2024

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Since reaching its yearly high of $0.2288 on March 28, the Dogecoin price has plummeted by over 54%. From its all-time high in May 2021, the DOGE price has declined by more than 85%. Despite this downturn, crypto analyst Cryptorphic (@Cryptorphic1) suggests that a bullish reversal may be on the horizon.

Cryptorphic has conducted an in-depth analysis of the weekly DOGE/USDT chart, positing that Dogecoin could experience a substantial 900% surge in price. This optimistic forecast is underpinned by a combination of seven factors, ranging from technical indicators to broader market trends.

What Needs To Happen For Dogecoin To Skyrocket By 900%?

The chart shared by the analyst shows Dogecoin’s performance since February 2021, which is capped in a tightly bound channel. This channel was defined by consistent lower highs and higher lows forming a predictable pattern for over 1,127 days, until a notable change occurred. Based on this, Cryptorphic reveals seven arguments for being ultra bullish on DOGE.

Dogecoin price analysis
Dogecoin price analysis | Source: X @Cryptorphic1

#1 Breakout Above Accumulation Channel

In the last week of February 2024, DOGE experienced a breakout characterized by a massive candle that propelled it beyond the upper limits of this long-term channel. Following this breakout, Dogecoin entered a phase of retesting the upper boundary of the previous channel, a crucial phase for confirming the strength and potential longevity of the breakout.

The breakout is quite significant for occurring after over three years of price consolidation within a defined range. Such a long period of accumulation often sets the stage for massive price move once breached. A successful retest typically confirms the breakout’s validity and could signal a continuation of the upward trend.

#2 Strong Weekly Doji Candle

Another key aspect of what needs to happen is “printing a strong weekly Doji, signaling significant buying pressure from the bulls.” Such a candlestick on the weekly chart would be characterized by a small body with a long lower shadow, suggesting a victory for the bulls in a tug-of-war between buyers and sellers.

#3 The “Musk-Effect”

The mention of Dogecoin by Elon Musk, who may be promoting DOGE as a means of payment on X after the presidential election, could increase speculative sentiment. Musk’s tweets have had an extremely strong influence on the DOGE price in the past, but things have gone very quiet in recent months. “Elon Musk is likely to shill it after the presidential election this year,” the crypto analyst speculates.

#4 Moving Averages

From a technical standpoint, Dogecoin’s current position above the 200-day Exponential Moving Average (EMA) suggests a strong bullish sentiment in the long-term perspective. Conversely, its struggle to maintain above the 100-day EMA indicates immediate challenges. Thus, a decisive close above the 100-day EMA could be another major sign for a DOGE bull run.

#5 Relative Strength Index

The Relative Strength Index (RSI), currently below 45, supports the theory that there is “plenty of room to grow” without pushing the asset into the overbought territory. This is critical as it suggests that despite recent gains, the asset is not yet at risk of a major sell-off due to overvaluation, according to this metric.

#6 Market Trends

The analysis also highlights the current trend where memecoins are outperforming more fundamentally solid projects, indicating a market preference that could favor DOGE in a bullish cycle. This needs to continue. “MEME coins have been outperforming solid projects this season, and I believe DOGE will lead the charge in this bull run,” the analyst states.

#7 Weekly Close Above $0.11

Overall, the analyst claims that “Multiple indicators are suggesting a bullish move is on the horizon.” He plans to maintain a position in Dogecoin, with an intention to buy on dips—a strategy that leverages potential volatility for accumulation at lower prices.

The identified trigger point for a bullish acceleration is a weekly close above $0.11 in the grey liquidity area. A close above this threshold could catalyze the anticipated rally.

At press time, DOGE traded at $0.10432.

Dogecoin price
Dogecoin price, 1-week chart | Source: DOGEUSDT on TradingView.com

Featured image created with DALL.E, chart from TradingView.com



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