In a surprising event in the world of cryptocurrencies, Dogecoin, the cryptocurrency that actually started as a meme and has since attracted millions of fans, crashed in the market. This particular case has attracted the attention of many people, whereby the price of the token suddenly dropped under the 0.22 price level has made many people argue and analyze. The precipitating factor was a large transfer of Dogecoin to a centralized exchange (CEX), which was indicative of a potential sell-off, and fueled the speculation regarding its future price trajectory.
Whale Alert, a blockchain monitoring service, posted a huge movement in the Dogecoin market, showing only a day’s flow of almost 140 million DOGE, or $30.22 million, into Coinbase. This event happened at the time when the bearish sentiment towards Dogecoin was much broader, which contradicted the optimistic feeling that Dogecoin used to have and which used to keep its value growing. Nevertheless, a few market watchers are optimistic emphasizing on a U-shaped recovery in trading charts of DOGE, projecting that prices may bounce back.
Dogecoin’s Price Swing
The market’s response to these events was felt. In the last 24-hours, Dogecoin’s price dropped 1.62% reaching $0.2125. This action belongs to the larger trend of volatility, which is characterized by large value fluctuations – and it keeps investors and traders alert all the time. Further bearish indicators, data from the derivative market showed a 3.08% drop in open interest on DOGE and a considerable 46.28% decrease in its trading volume, pointing to the token’s current market woes.
Dogecoin has just broken a strong barrier of resistances worth $0.206 reaching the two-year high of $0.2288. This rally revived the confidence of the traders that DOGE is likely to retest the broken resistance now turned into support.
DOGE has a future, which is currently covered by market corrections and whale activities, but growth possibilities still exist. In case the meme coin keeps its breakout momentum, analysts expect $0.27 and potentially $0.3 as targets. In the realm of an ever-evolving cryptocurrency market, Dogecoin story is an example of an unpredictable and mesmerizing life of meme-based digital assets, catching the eyes of the experienced traders as well as the beginners.