Dogecoin May Face Further Decline After $0.18 Resistance Rejection

• Dogecoin and the memecoin sector have lost 31% in value over the past month, per CoinMarketCap data.

• Recent social media buzz from Elon Musk’s X post led to a brief price bounce but failed to sustain upward movement.

• Open interest dropped 3.66% in the last 24 hours, signaling short-term bearishness amid a 2.67% price decline.

Dogecoin price prediction shows bearish signals after $0.18 rejection; expect drops to $0.15-$0.13. Analyze charts and liquidity for trading insights—stay informed on DOGE trends today.

What is the Dogecoin price prediction for the near term?

Dogecoin price is exhibiting bearish tendencies following a rejection at the $0.18 resistance zone, indicating continued seller dominance on the daily timeframe. Metrics like declining open interest and on-balance volume (OBV) reinforce this downtrend, with potential targets at $0.15 and lower to $0.13. A sustained move above $0.209 could invalidate this outlook and signal a reversal.

Why is Dogecoin showing bearish structure on technical indicators?

The daily chart for Dogecoin reveals a clear bearish structure, characterized by lower highs and lower lows, which has persisted despite brief spikes in social engagement. According to data from TradingView, the on-balance volume (OBV) indicator has maintained a steady downtrend, reflecting reduced buying pressure and increased selling activity over recent sessions. The Money Flow Index (MFI) further supports this, hovering in oversold territory but without signs of reversal, suggesting sellers remain in control. In the past week, this has led to a retest and failure at the $0.18 level, a former support now acting as resistance. Historical patterns indicate that such rejections often precede deeper corrections, with the memecoin market as a whole down 31% in the last month based on CoinMarketCap figures. Lower-timeframe analysis shows persistent liquidation risks, amplifying the bearish bias. Experts in cryptocurrency technical analysis, such as those referenced in market reports from platforms like CoinGlass, emphasize that without a volume surge to break this pattern, Dogecoin price could see further downside. This combination of indicators provides a structured view for traders monitoring short-term moves.

Frequently Asked Questions

Is there evidence that sentiment has turned bullish for Dogecoin?

No significant evidence supports a bullish shift for Dogecoin at this time. While Elon Musk’s recent post on X generated temporary social media buzz and a minor price bounce, engagement has not sustained, failing to counter the overall downtrend observed in price action and derivatives data.

What should DOGE traders expect in the coming sessions?

DOGE traders can anticipate continued pressure from the $0.18-$0.19 resistance zone, with an ongoing rejection pointing toward next support levels at $0.15 and $0.13. Monitoring open interest and volume for any uptick will be key, as a break below these could accelerate selling.

The rejection at key support underscores a bearish Dogecoin outlook

Source: DOGE/USDT on TradingView

Recent market developments confirm the bearish forecast for Dogecoin price, as the asset has indeed approached $0.15 following last week’s predictions. At press time, the clear rejection from $0.18 on the one-day chart highlights that bears maintain control, with no immediate bullish catalysts emerging. This level, once a reliable support, now serves as a formidable barrier, reinforced by broader memecoin sector weakness. Open interest in Dogecoin futures has declined by 3.66% over the past 24 hours, aligning with a 2.67% drop in price, which points to waning trader confidence and heightened short-term bearishness. The overall memecoin market, including Dogecoin, has experienced a 31% value erosion in the last month, as reported by CoinMarketCap data, underscoring systemic pressures rather than isolated incidents. On the technical front, the daily timeframe displays a robust bearish structure, with the OBV tracing a consistent downtrend that mirrors reduced accumulation. Similarly, the MFI indicates seller dominance, with flows skewed toward distribution. These indicators collectively suggest that the current setup favors a downward trajectory, potentially revisiting $0.15 and extending to the $0.13 support zone if momentum builds. However, traders should note that a decisive close above $0.209 would disrupt this bearish narrative, potentially shifting sentiment toward recovery. This analysis draws from established technical frameworks used in cryptocurrency trading, providing a data-driven perspective on Dogecoin’s path forward.

Liquidity data suggests one final short squeeze opportunity

Source: CoinGlass

Examining the two-week liquidation heatmap reveals concentrated liquidity pools around $0.19 and $0.204, areas prone to short liquidations that could trigger a brief upward squeeze before any sustained decline. Data from CoinGlass indicates these zones as hotspots for potential volatility, where overleveraged positions might force a temporary price lift. For Dogecoin price watchers, this implies a possible bounce targeting these levels, but it should be viewed as an opportunity for sellers rather than a trend reversal. Key to monitoring remains the one-day OBV; a bullish divergence or crossover above zero could herald an uptrend, especially if accompanied by a price breach of $0.209. In the absence of such signals, the prevailing bearish structure dominates, with downside risks to $0.13 outweighing upside potential. This liquidity-driven insight aligns with broader derivatives market behavior, where declining open interest often precedes sharper corrections in assets like Dogecoin. Traders are advised to approach any short-term rallies with caution, using them to position for the anticipated lower targets. Overall, these elements paint a cautious picture for Dogecoin in the current market environment.

Key Takeaways

• Bearish technical structure persists: Dogecoin’s daily chart shows lower highs and lows, with OBV and MFI confirming seller control after the $0.18 rejection.
• Liquidity hints at brief upside: Heatmap data points to potential short squeezes at $0.19-$0.204, but these are likely selling opportunities before drops to $0.15-$0.13.
• Monitor for reversal signals: A close above $0.209 and OBV uptick could invalidate the bearish outlook—track volume closely for entry points.

Conclusion

In summary, the Dogecoin price prediction leans bearish, with rejection at $0.18 and declining open interest underscoring ongoing downward pressure in the memecoin sector. Technical indicators like OBV and MFI reinforce this trend, targeting supports at $0.15 and $0.13, while liquidity data suggests limited upside squeezes. As market dynamics evolve, staying vigilant for breaks above $0.209 will be crucial—consider these insights for informed trading decisions in the volatile crypto landscape.

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.