- DOGE surged 15.76% as whales added 140 million, pushing above $0.20.
- Resistance at $0.25 remains strong, with technical indicators hinting at a potential breakout.
- Futures traders exit positions, increasing sell pressure and risking a drop below $0.20.
The price of DOGE has gained significantly, but can the momentum hold? A massive 15.76% surge erased weekly losses and pushed DOGE past $0.20 in a single day. Whales fueled the rally by adding 140 million DOGE to major holdings. Trading volume exploded 252% to $3.71 billion, showing strong buyer interest. Now, DOGE faces a tough test at $0.25. Breaking through could spark another leg up, but profit-taking might slow the climb.
DOGE Battles Key Resistance at $0.25
The daily chart shows DOGE retracing over half of the gains from the post-election surge. Three straight lower lows raise concerns, but technical indicators hint at a reversal. The RSI sits near oversold levels, suggesting a possible bounce. A bullish MACD crossover signals growing momentum for another push higher.
Rising global liquidity has helped fuel the rally, with many linking the surge to a “Trump pump.” Short sellers took a hit, with $10.10 million in liquidations reducing sell pressure. Open Interest jumped 10.57% to $2.03 billion, reflecting increased speculation. However, weak spot demand raises doubts about a sustained breakout.
Will Bulls Hold, or Is Another Drop Coming?
DOGE has already pulled back 7.66% from the rally peak. A large red candlestick shows growing sell pressure, increasing uncertainty. Futures traders have started exiting positions, with Open Interest dropping over 4%. This shift adds more liquidity to the market, increasing downside risks. Overleveraged positions could trigger a long squeeze, leading to cascading sell-offs.
For now, bulls need strong demand to hold current levels. Without fresh buyers, a drop below $0.20 could happen soon. The next few days will be crucial in determining DOGE’s price trajectory. A strong defense of support levels may keep momentum alive. If buyers step back, bears could regain control.
