- Dogecoin is under pressure as it nears the $0.18 support level, with rising long liquidations and weakening market sentiment pointing to a potential drop toward $0.14.
- A failure to hold current levels could invalidate bullish setups and accelerate the correction.
The meme coin market is experiencing renewed selling pressure, and Dogecoin (DOGE) is at a critical tipping point. With the total market cap of meme coins falling below $60 billion and Bitcoin dipping under $105,000, investor confidence across the sector is clearly eroding. As Dogecoin hovers near a vital support zone, many are asking: is a fall to $0.14 inevitable?
Dogecoin Slips Below Key Technical Levels
On the daily chart, Dogecoin recently failed to push through the major resistance near $0.25, triggering a sharp reversal. The pullback has sent DOGE below both the 200-day EMA and the 23.60% Fibonacci retracement level around $0.21—both crucial indicators of long-term strength.
Currently, Dogecoin is clinging to the $0.18 support level. A decisive breakdown below this point would cancel out the potential bullish setup many traders had hoped for and open the door for further losses down to the $0.14 mark.
The daily Relative Strength Index (RSI) has also turned bearish, slipping below the midpoint after previously touching overbought conditions. This momentum shift underscores growing downside pressure.
$5M in Long Liquidations Amplifies Bearish Outlook
In the derivatives market, bulls are feeling the sting. Over the past 24 hours, more than $5.19 million in long positions have been liquidated—compared to just $416,000 in shorts. That’s a staggering 12-to-1 ratio favoring bearish positions, highlighting just how rapidly sentiment has flipped.
Meanwhile, open interest (OI) in DOGE has dipped by 1.42% to $2.07 billion, reflecting a decline in active participation. However, there’s a slight silver lining: the OI-weighted funding rate rebounded to 0.0080% after plunging to 0.0020%, suggesting some short-term optimism is creeping back in.
What’s Next for Dogecoin?
Unless Dogecoin can hold above the $0.18 level and reclaim lost ground toward $0.21, the risk of a slide toward $0.14 remains high. With market sentiment fragile and meme coin liquidity thinning out, DOGE bulls face a serious test.
For now, all eyes are on the $0.18 threshold. A breakdown here could spark accelerated losses, while a bounce could offer temporary relief. Traders and investors alike should proceed with caution as volatility returns to the meme coin space.
