DOGE Battles Support Zone:Next Stop $0.10 or Rebound?

Key Insights:

• DOGE tests 200-week EMA and trendline, signaling a major decision point for price action.
• 27.4 billion DOGE were accumulated at $0.08, marking strong on-chain long-term support.
• Rising futures open interest shows growing trader activity despite recent price declines.

Dogecoin (DOGE) was trading near a critical area of support after a week of steady decline. The price is currently at $0.1529, down 4.7% in the past 24 hours and 10.8% over the last seven days. With major technical and on-chain levels aligning, this zone may determine DOGE’s next move.

Price Tests Long-Term Support

DOGE was sitting on a confluence of technical levels. These include the 200-week EMA at $0.1561, a long-standing rising trendline from 2023, and a horizontal support level that has held through several corrections.

All three levels are now being tested at once. This kind of setup has often led to a shift in direction in the past. Analyst Lark Davis wrote, “$DOGE is sitting on a cluster of support right now,” raising the question of whether it can hold or break lower. A move above $0.16 could keep buyers in control, while a drop below $0.156 might open the way to lower prices, possibly near $0.10.

$0.08 Identified as Key Support Zone

On-chain data from Glassnode shows large amounts of DOGE were bought at $0.08. Analyst Ali noted that 27.4 billion DOGE were accumulated at that price, making it the largest concentration of ownership. The heatmap shows a visible band of supply in the $0.08–$0.082 range.

Another area of interest is around $0.20, with about 12.15 billion DOGE accumulated. However, this level has less weight than $0.08. If current support fails, traders may look to $0.08 as a possible bottom where demand could return.

Futures Market Shows Rising Interest

Open interest in DOGE futures has increased, based on recent data. This suggests more traders are entering positions. CW commented, “Open interest on $DOGE is increasing,” which often reflects growing attention around key price levels.

The rise in open contracts comes even as price moves lower. This can indicate that traders are positioning for a larger move. Whether these are long or short positions is unclear, but rising open interest typically points to higher market activity ahead.

Price Reaction Will Set the Tone

DOGE was at a point where the next few days may shape its short-term trend. A strong move above support could trigger a recovery, while a breakdown might extend losses. Traders are watching this zone closely for clues on the next direction.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.