Dogecoin (DOGE) continues to experience significant downward pressure as it trades at approximately $0.095. This current price reflects a 1.46% decline for the day and an alarming 8.03% drop over the last week.
Initially surging to a peak of $0.15, DOGE has since entered a descending channel that saw it plunge to a low of $0.08 before managing a modest recovery. The persistent selling pressure is evident in the market, with sellers outpacing buyers significantly. Over the past eleven days, seller volume surged to a staggering 5.4 billion, in stark contrast to just 2.8 billion in buying volume.
Amid this turmoil, analysts have different takes on whether DOGE has hit rock bottom or if further declines are imminent. One prominent analyst argues that DOGE might have reached the lower boundary of its long-term ascending channel, citing notable historical patterns where DOGE experienced remarkable gains in previous bull cycles. For instance, during the 2017 market rally, the memecoin skyrocketed by an incredible 9,200% over the course of 300 days, and in an earlier cycle it achieved an even more staggering increase of 26,485% within just 154 days.
However, another analyst presents a more cautious outlook, suggesting that capitulation has not yet occurred. They predict that DOGE could dip to around $0.05 before establishing a true bottom, mentioning that the Relative Strength Index (RSI) currently sits at 31, placing it deep within oversold territory.
An analysis using the Demand and Supply Zones indicator points to $0.09 as a critical supply zone, where DOGE has encountered strong selling resistance. This potent selling pressure contributed to the recent drop to $0.08.
Selling Pressure Overwhelming
The Buyer-Seller Dominance indicator clearly shows that sellers are currently in control. In the past 24 hours alone, sell volumes have reached 700 million, revealing the intense bearish sentiment gripping the market.
Many indicators are displaying signs of weakness for DOGE. The Directional Movement Index has plummeted to 6.3, confirming the weak trend strength, while the ongoing bearish momentum suggests DOGE may not yet have found stable ground.
In contrast, crypto analyst VisionPulsed shared insights in a recent video, positing that true capitulation has yet to manifest. He cites persistent bullish chatter on social media as evidence that fear and panic haven’t fully gripped DOGE holders. Historically, capitulation levels often correlate with a significant shock to trader sentiment, similar to the aftermath of the Terra/Luna collapse.
VisionPulsed emphasized the relationship between significant price drops and historical RSI oversold levels. He believes that DOGE’s next leg down could see prices plummet to $0.05, warning that multiple crypto rallies tend to falter when the stochastic RSI indicates overbought conditions.
Amidst predictions of a further downturn, VisionPulsed maintains a sense of optimism for the future, hinting at the possibility of a substantial rally coming after the spring. He suggested that the “real bull run” for Dogecoin may not materialize until around July 2027 if the bullish reversal happens as expected.
With current dynamics leaning heavily towards a bearish market structure, any recovery would necessitate DOGE reclaiming its demand zone around $0.15. The ongoing price action suggests that the memecoin will likely hover near $0.09, with $0.10 presenting an upper boundary, while seller pressure remains palpable.
