- Dogecoin Faces Strong Bearish Pressure: DOGE has dropped 11% in 24 hours and 44% over the past month, with analysts targeting further downside at $0.179, $0.163, and $0.144.
- Mixed Analyst Sentiment: While some traders see short opportunities, others believe DOGE is at a prime buying level, with one analyst predicting a rally toward $0.78-$2.00 if momentum shifts.
- Declining Market Interest Signals Weakness: DOGE’s futures open interest has plummeted 67% in three months, suggesting waning enthusiasm and lower trader confidence in the short term.
Dogecoin ($DOGE) has been riding a wild wave of volatility, with sharp price swings dominating its recent trajectory. Over the past 24 hours, DOGE has plunged more than 11%, extending its 30-day losses to nearly 44%.
Currently trading at $0.18, the meme coin has pulled back significantly from its early-year highs. Still, long-term holders remain in profit, as DOGE is up 90% over the past year. But with key support levels now under threat, analysts are questioning whether further downside is on the horizon.
Sell Signals Flashing—Short Targets in Sight
As the price turbulence continues, analysts on TradingView have pinpointed potential short opportunities. One analyst, pullbacksignal, has issued a sell signal for DOGE/USDT, marking key downside targets at $0.179, $0.163, and $0.144.
Their trading strategy?
- Sell at current levels
- Set a stop-loss at $0.217
- Watch for bearish confirmation using price action, Fibonacci retracement, RSI, moving averages, Ichimoku clouds, and Bollinger Bands.
Meanwhile, another analyst, Exocet03, has identified a falling wedge pattern, suggesting that DOGE could see a temporary bounce before forming a low around $0.175. If market conditions align, they expect a breakout toward $0.235, which could be a key level for bullish momentum.
Contrasting Views—A Buying Opportunity?
Not all analysts are bearish. ProCrypto23 believes DOGE’s current price offers a prime buying opportunity. Their setup includes:
- Long entry at $0.18590
- Stop-loss at $0.18200
- Profit targets ranging from $0.78 to $2.00
While this is a highly optimistic outlook, DOGE would need a significant catalyst to ignite a breakout of that magnitude.
Declining Open Interest Hints at Weakening Sentiment
Market data suggests waning enthusiasm for Dogecoin. According to Glassnode, DOGE’s open interest in futures markets has cratered by over 67% in the last three months.
- December 8: $4.07 billion in open interest
- Now: $1.33 billion
Open interest reflects the total number of outstanding futures contracts—a crucial indicator of market sentiment. A steep drop like this often signals fading optimism, as traders pull out of leveraged positions.
Final Thoughts—Breakdown or Bounce?
Dogecoin sits at a critical crossroads. While some analysts are eyeing short targets, others see a potential bounce brewing. The next few trading sessions could determine whether DOGE continues its descent or surprises with a reversal. Either way, expect volatility to stay high as traders battle for control.
