- Dogecoin price lost 50% of its market value in November.
- On-chain metrics suggest whales are losing faith in hodling the notorious meme coin.
- Invalidation of the bearish thesis is a breach above $0.103.
Dogecoin price witnessed a devastating decline during the second trading week of November. A sweep-the-lows event could be underway if the bulls show up later. Key levels have been defined to determine DOGE's next potential move.
Dogecoin price falls violently
Dogecoin price has seen better days as the notorious meme coin is down 50% on the month. On November 8, during the US midterm elections, DOGE fell by 30% in free-fall fashion. The penny-from-Eiffel-style decline shows some optimistic signals suggesting DOGE could recover; however, on-chain metrics argue a different scenario in play.
Dogecoin price currently auctions at $0.081. The decline shows relatively less volume than the previous uptrend rally. The Relative Strength Index (RSI) returns to the final levels of support after breaching extremely overbought conditions during the 160% rally at the end of October.
DOGE/USDT 1-Day Chart
Still, the most concerning signals are also one of the subtlest. The strongest candle's low within the recent uptrend has been breached. Based on classical technical analysis, DOGE's uptrend is now in jeopardy due to the breach.
On-chain metrics compound the idea that DOGE's demise is far from over. Santiment's Whale Transactions Count >1M shows a significant uptick in movement. The indicator may suggest that high-cap DOGE investors are no longer interested in hodling, the notorious meme coin. Furthermore, they may be preparing to take profits during a countertrend rally in the weeks to come.
Santiment's Whale Transactions Count >1M Indicator
Considering these factors, DOGE may be due for more pain in the coming days. Traders may consider practicing healthier risk management techniques as the market could be subject to increased volatility. The next bearish targets lie at $0.06 and potentially the summer lows at $0.049.
Invalidation of the bearish thesis is a breach above the $0.103 liquidity levels. If the level is breached, DOGE could re-route north in the short term and rally as high as $0.12. Such a move would result in a 55% increase from the current Dogecoin price.
In the following video, our analysts deep dive into the price action of DOGE, analyzing key levels of interest in the market. -FXStreet Team
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Polygon joins forces with WSPN to expand stablecoin adoption
WSPN, a stablecoin infrastructure company based in Singapore, has teamed up with Polygon Labs to make its stablecoin, WUSD, more useful in payment and decentralized finance.
Coinbase envisages listing of more meme coins amid regulatory optimism
Donald Trump's expected return to the White House creates excitement in the cryptocurrency sector, especially at Coinbase, the largest US-based crypto exchange. The platform is optimistic that the new administration will focus on regulatory clarity, which could lead to more token listings, including popular meme coins.
Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B
As Bitcoin (BTC) gets closer to the $100,000 mark for the first time — it crossed $99,000 earlier Friday — capital is rotating into alternative cryptocurrencies, creating a buzz in the broader crypto market.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: Rally expected to continue as BTC nears $100K
Bitcoin (BTC) reached a new all-time high of $99,419, just inches away from the $100K milestone and has rallied over 9% so far this week. This bullish momentum was supported by the rising Bitcoin spot Exchange Traded Funds (ETF), which accounted for over $2.8 billion inflow until Thursday. BlackRock and Grayscale’s recent launch of the Bitcoin ETF options also fueled the rally this week.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.