Key Takeaways
- A crypto analyst revealed that whales have sold 1 billion Dogecoin (DOGE) over the past week.
- Price action suggests that DOGE is in a downtrend and is poised to continue its bearish movement until it reaches the $0.14 level.
- Traders also hold a bearish view, having built $34.39 million worth of short positions at the $0.169 level in the hope that the price won’t break above this level.
The bearish trend in the world’s largest meme coin, Dogecoin (DOGE), continues with today’s 5.5% price dip. This consistent decline, coupled with recent whale activity, has further strengthened the downward momentum and may extend the bearish trend in the coming days.
Crypto Whales Offload 1 Billion Dogecoin (DOGE)
Today, a well-followed crypto analyst shared data from the on-chain analytics platform Santiment, revealing that DOGE whales holding between 10 million and 100 million tokens have dumped over 1 billion DOGE over the past week.
This massive sell-off by long-term holders hints at fading confidence and interest among investors, which could attract more sellers to the market and potentially push the price even lower in the coming days.
However, whales’ mass selloff in the past week seems to be the key catalyst behind the meme coin’s consistent price decline, along with other factors such as the bearish market sentiment, Jerome Powell’s recent rate-cut speech, and a major support breakdown.
Also Read: Why is Crypto Down Today? BTC Breaks below $104K!
Current Price and Major Liquidation Levels
As per the latest TradingView data, DOGE is currently trading at $0.16, registering a price dip of over 6%. During the same period, market participants have shown strong interest in the asset, which is reflected in the meme coin’s trading volume, up 12% to $3.65 billion.
This surge in trading volume suggests that traders and investors are increasingly betting on a downside move for DOGE, as reflected in today’s liquidation data, which shows a strong concentration of interest on the bearish side.
Derivative analytics platform Coinglass reveals that DOGE’s major liquidation levels currently stand at $0.1558 on the lower side (support) and $0.169 on the upper side (resistance), where intense trader interest has been recorded. At these levels, traders have built long positions worth $9.78 million and short positions worth $34.39 million, respectively.
This confirms that not only long-term holders but also intraday traders hold a bearish outlook, raising the question of whether this is an ideal time to sell or if the price could see a rebound in the coming days.
DOGE Price Action and Upcoming Levels
According to TimesCrypto’s technical analysis, DOGE has turned bearish on the daily chart and appears poised to continue its downward trend. The chart reveals that the meme coin has already lost key support at the $0.18 level and is now heading toward the next support zone.
Based on the current price action, if this downtrend continues and DOGE remains below $0.18, it has strong potential to reach the next support at $0.14 in the coming days.
On the other hand, if the price reverses and DOGE reclaims the $0.18 level, this bearish outlook will be invalidated, and the meme coin could see a strong rebound.
