Dogecoin’s value has sharply dropped by more than 23% in the last 24 hours, plummeting from $0.11898 to $0.09166. This decline resulted in the liquidation of over $11.95 million worth of DOGE, primarily from long positions. The downturn brings Dogecoin closer to its lowest point this year, reflecting the broader impact of Bitcoin’s recent slide to $53,000, which triggered widespread selling across the cryptocurrency market.
The correlation between major cryptocurrencies was evident as Dogecoin mirrored Bitcoin’s decline. As of the latest update, DOGE has shown some recovery and is currently trading at $0.09584, with a market cap of $14.14 billion. The daily trading volume has surged over 69% to $1.69 billion.
Dogecoin’s prominent role in recent liquidations is notable. According to CoinGlass data, $11.95 million in DOGE was liquidated in the past day, with $10.98 million from long positions and $963,430 from short positions. This significant liquidation contributed to Dogecoin’s drop to $0.09166, marking its lowest level in five months.
While smaller in scale compared to Bitcoin’s $226 million liquidation, this process had a substantial impact on the global market cap, resulting in a sharp decline.
The recent downturn in Dogecoin can be attributed to several factors. The meme coin ecosystem is highly vulnerable to market swings, despite its widespread popularity and endorsements from figures like Elon Musk. Additionally, Bitcoin’s decline cascaded across the market, heightening volatility and prompting traders to liquidate positions to mitigate losses.
Despite these challenges, supporters of Dogecoin remain hopeful about its long-term prospects, citing its robust community and utility in online transactions. Analysts predict that if DOGE manages to recover, it could encounter resistance around $0.1187, potentially paving the way for further gains towards $0.1267 and a monthly peak of $0.161. Conversely, if the decline continues, Dogecoin might find support around $0.8979 and could drop further to $0.8312, potentially reaching a yearly low of $0.07515. The upcoming days will be critical in shaping Dogecoin’s trajectory amid ongoing market volatility.
