Within a falling channel pattern, the biggest meme coin, Dogecoin, struggles to reclaim $0.101. Will this struggle fail with the $0.094 support crackdown?
With a market cap of $14.21 billion, Dogecoin is trading at a crossroads with intense demand and supply elements at play. Further, the broader market uncertainty increases the volatility of Dogecoin prices.
Held within a mother candle for now, will Dogecoin manage a bull cycle this week?
Dogecoin Nears the Wedge’s End
In the daily chart, the Dogecoin price action reveals a sideways trend near $0.094. Trading near the bottleneck part of a falling-wedge pattern, the overhead bearish influence materializes in the 50-day EMA and an overhead resistance trendline.
Over the past five days, Dogecoin’s price has consolidated within the range of a bearish engulfing candle from September 1, which saw a 6.10% decline. Despite increased market volatility, the meme coin has struggled to establish a clear trend.
The price is currently consolidating above the recently established support level of $0.094. However, the RSI indicates a growing bearish divergence. Dogecoin is trading at $0.09780, reflecting a minor intraday drop of 0.61% from its opening price of $0.09839.
Dogecoin Network Down To 66K Txns
Since peaking at 1.98 million transactions on March 4, the Dogecoin network has experienced a significant decline in 2024. By August 22, the number of transactions had dropped to 126,000; on September 5, it had further decreased to 66,000 daily transactions.
Transaction volumes have also decreased sharply, from a 2024 peak of 34.73 billion DOGE to the current 7.72 billion DOGE. This reflects a massive decline in the network’s health compared to its 2024 peak.
Crucial Dogecoin Support Levels
As the correction phase intensifies for Dogecoin, the chances of recovery are getting trimmed. At its network’s peak, with nearly 2 million transactions, Dogecoin was priced at $0.1657. However, it is now trading at $0.09758 with only 66,000 transactions.
Hence, if the broader market fails to lift off, Dogecoin could crash under $0.09407. Below this, the support levels are present at $0.081 and $0.075.
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Source: https://thecryptobasic.com/2024/09/06/as-dogecoin-network-activity-plummets-will-0-094-support-hold/?utm_source=rss&utm_medium=rss&utm_campaign=as-dogecoin-network-activity-plummets-will-0-094-support-hold