Dogecoin plummets by 6%

On Monday, August 25, Dogecoin DOGE $0.10 Binance-Peg Dogecoin -1.19% Market capitalization $0.24 billion VOL. 24 hours $74.96 million dropped by more than 6% as bitcoin BTC $75,184.84 Mezo Wrapped BTC -0.87% Market capitalization $0.1 billion VOL. 24 hours $0.63 billion fell below $ 112,000, which dragged the entire crypto market down. Additional seller pressure is forming on the DOGE charts, and sentiment remains pessimistic.

Since March, the meme token has been trading in a wide range of $ 0.142−0.25, failing to gain a foothold higher. An attempted bullish breakout in July was thwarted after BTC rolled back from $ 120,000 to $ 114,700. Currently, DOGE is holding near the middle of the range at $ 0.2. The On-Balance Volume indicator has fallen to early August lows, confirming the selling pressure, and the RSI indicates that momentum is shifting to the bears.

During the week, altcoins lost about 4% of their capitalization. Dogecoin failed to hold $ 0.224, which was a key support at the 75% level in the long-term structure. If the negative trend continues, a retest of $ 0.21 is highly likely. Last week, DOGE already bounced off this level, but it failed to go above $ 0.241, which is a resistance that remains unconquered.

According to CoinGlass, the $ 0.24 zone acted as a strong liquidity magnet, after which the pullback began. The next major cluster of liquidity is located lower, near $ 0.207, where the bullish order block on the hourly timeframe also coincides. This creates room for another decline.

At the same time, a retest of the $ 0.20−0.21 zone could be beneficial for the market. If there is demand there, Dogecoin has a chance to stabilize and try to regain ground later this week.